“STATES’ REVENUE GROWTH TO RISE 8%-10% IN FY 2024-25: CRISIL”
Why in the news?
- CRISIL projects a revenue growth of 8%-10% for India’s top 18 States in 2024-25.
- Growth driven by higher GST collections and central tax devolutions, accounting for 50% of State revenues.
source:quora
About Goods and Services Tax (GST):
- GST was introduced through the 101st Constitution Amendment Act, 2016.
- The GST has subsumed indirect taxes like excise duty, Value Added Tax (VAT), service tax, luxury tax etc.
- Destination-based Taxation: It follows a consumption-based taxation principle rather than origin-based.
- Import Treatment: Imports are treated as interstate supplies, subject to Integrated Goods & Services Tax (IGST) and applicable customs duties.
- Mutually Decided Rates: GST rates (CGST, SGST, IGST) are decided jointly by the Centre and States through the GST Council.
- Multiple Rates: Initially, GST had four rates: 5%, 12%, 16%, and 28%, determined based on item classifications by the GST Council.
About CRISIL:
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