Trade Prospects in the light of GST and FASTag in India The ease of doing business in India is improving day to day, all thanks to Government of India which is finding every way to galvanize the problem-ridden sectors. The reforms initiated by the Government of India shed a positive light on the image of India as one of the favorite investing destinations. Some of the recent reforms, like GST and FASTag, are really reinforcing the faith and exposing the potential of the Indian markets. The landmark Goods and Services Tax (GST) is one of the factors that improved the business rankings of the country. It subsumed many annoying taxes and replaced them with a clear and uniform tax. Post-GST, the indirect tax collection in India went up with unprecedented figures. Recently, the Government of India has come up with GST Eway bills, which further improves the pace of conducting business. FASTag, also called as Electronic Toll Collection (ETC), was initiated by the Highway operations division, which is headed by Mr Akhilesh Srivastava, of National Highways Authority of India (NHAI), it is a statutory body of the Government of India (GoI). FASTag works on Radio Frequency Identification (RFID) technology. All the commuters need to do is, to buy a FASTag from the authorized dealers, link that Tag to a bank account, and mount it to the windscreens of their vehicles. When a vehicle with a FASTag passes by a FASTag enabled Toll Plaza, then without human intervention, the Toll will get deducted from the linked accounts. The common point that brings these reforms together is they both offer convenience to traders. Before the introduction of GST and FASTag, traders used to face a lot of problems when transporting their material/products via National Highways. They were asked to pay Inter-state taxes and duties. Adding to that, traffic congestion at Toll Plazas hindered them. Post GST and FASTag, there has been a significant change in the way trading is done in India. The GST Eway bill and FASTag are reducing the travel time for traders and ushering a new wave of positivity in the Indian markets. According to the GOI, GST has reduced 1/5 of the travel time of traders and soon it is going to reduce further. If the same kind of reform momentum is maintained in India, no one stops India from growing in terms of trade and Indiaâ€™s GDP is going to rise irrespective of the international market situation.
Published on Mar 13, 2018
Published on Mar 13, 2018
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