Vol 3 | Issue 3 | July 2016

Recommendations

Info

GST BILL - A PANACEA FOR INDIAN ECONOMY Aditi Shukla* There has been a big rush to push GST bill into action. Goods and Services tax is a tax levied when a consumer buys a good or service. It is designed to subsume with a single comprehensive tax which brings all the other taxes under one umbrella. It aims to eliminate the cascading effect of taxes on production and distribution prices on goods and services. Previously, excise duty and service tax were levied by central government while value added tax was levied by state government which was one of the reasons why such a cross utilization of credits was not allowed. However, GST aims to solve the issue of cascading of taxes. It never made any difference to people whether the tax is levied by the state or center. A tax is a tax and there is a tax on a tax currently. GST is designed to combat this problem. Solving the problem of cascading of taxes will be a win- win situation for the citizens of the country and the government. The question still remains unanswered whether it would be implemented in India? There is a dual view as today states have autonomy in collecting taxes, they are also worried about central government sharing the tax revenues with them. If India becomes a common market, then the states will have to share their power of taxing with the union government. It would mean that states will not have the power of increasing or decreasing the taxes as much as they want. On the other hand, the consensus of opinion is that the implementation of GST would lower prices of goods, thereby benefiting both consumers and manufacturers. It would also simplify the tax code, which currently is a disaster. It would also reduce the compliance and procedural costs as returns and reporting will be comfortable under GST. According to some experts, it would also add approximately 100 to 200 basis points to GDP. Though there are three models of GST which would be levied for state, center or both. According to some experts, India should adopt a dual GST model administered by central and state governments in order to abate the differences between state and central governments. Keeping these differences in mind, the bill has proposed to have a GST council where in the state and central minister of finance will have equal powers followed by a Dispute Settlement authority to mitigate the issues between both the governments. Also, it would encourage the small businesses to come into action as the location bias will be removed through this comprehensive bill and the youth will be able to come up with more startups without worrying about the tax differences in different states. Interestingly, according to the Joint Working Group appointed by the empowered committee in 2007, India would have a quadruple tax structure having components namely- Central tax on goods extending up to retail level, Central service tax, State VAT goods, State VAT on services. All these matters are still being figured out and worked upon by the state and central governments so that they come out with the best and calibrated GST bill. This “dual v/s quadruple” matter of abundant complications and entanglements has acquired urgency for the government. April 2017 is seen as the last window for rolling out GST. For GST to be implemented from next April, the government will have to pass the central GST legislation once the Constitution amendment bill is cleared by Parliament and state legislatures. GST has been subject to lot of opposition. “All parties other than Congress are supporting GST and even Congress chief ministers are in favor of it,” said a top government source, adding that the Centre was confident of successfully pushing the legislation through Rajya Sabha .West Bengal CM Mamta Banerjee’s support for GST has also buoyed them, sparking optimism that CMs of other ‘consuming’ states, such as Bihar, Odisha, Kerala and UP, will also back the GST bill since they stand to gain through higher tax collection. This would be the first tax of a kind in India and if laid out legislatively correct and publicly beneficial, it will definitely be a panacea for our country’s economy. *Aditi Shukla is a student of Class of 2017 at IBS Gurgaon 18 SAMVAAD | Vol. 3 | Issue 3 | JULY 2016
ALUMNI SUCCESS STORY 4 Tenets for Professional Success By: Karan Bhujbal, Class of 2010, IBS Gurgaon ‘Dilon mein tum apni betabian leke chal rahe ho, to zinda ho tum’. This line from Javed Akthar, from the movie Zindagi Na Milegi Doobara, sums up the constant fears and apprehensions I had while doing an MBA. Where was I going to get placed? What would be the right career start for me? Would it be interesting enough? And above all, how much would I earn in the short and long term? That was 6.5years back and fast forwarding to the present, I currently work for Vuclip, a Silicon Valley originated company in the digital media entertainment space. I’m a part of the global corporate marketing team, and I look at marketing communications across various regions. Prior to this, I worked for the MSL Group, Publicis Groupe’s Strategic Communications and Engagement Company, for 5.5 years. My core functional areas were Public Relations (PR), Social Media and Experiential Campaigns. My professional journey is just 1% done, but there sure have been some lessons, that essentially made my mental make-up and have helped me grow in the corporate world. Everything counts From the way you dress, to the way you talk, to every presentation you give and every point you make in a meeting, everything counts. Your bosses, your colleagues, your clients, your investors and your customers, all are judging you, consciously or unconsciously, at each moment. In 2014, I made it to the list of India’s top 30 Under 30 PR professionals by PRmoment.in. The achievement was special, because one, my employer nominated me and two, I made it to the final list. The achievements cited to file my nomination included strategic thinking for my clients, creative execution, innovative approach, impact in terms of marketing and business impact of campaigns. But what made these achievements possible was a day-on-day relentless drive for excellence, to deliver meaningful results and an always-on conversation with internal and external stakeholders. Without this, I wouldn’t ever come up with any creative solution, I wouldn’t have ever been able to discover a problem, let alone solve it and I most certainly wouldn’t have got the trust from my employer and my clients to execute things. Attitude is everything I think, over the years I’ve built a strict work regime for myself, be it reaching office on time, having a ‘yes, can’ attitude, to focusing on results and not efforts and a perpetual self-improvement drive. At the end of 2014, my client Opera Software’s Global CEO was visiting Delhi. We wanted to make big news. So we decided to do a flash mob, with our global CEO dancing in it, with his senior leadership team and 50 professional dancers, at one of the biggest malls in Delhi. And this was just one of the activities scheduled for him, within the 24 hours he was here for. We got all experts together, a dance school, an events agency, our PR act and social media, in no time and got things going. The result - the flash mob was a huge success; it made news not just in India, but in global publications too. A week later, we got a mail informing us that Opera’s stock prices rose by a few basis points and since no other event had happened in the past week, it was probably our flash mob that did it. We didn’t plan for is; but I guess our attitude made it happen. Vol. 3 | Issue 3 | JULY 2016 | SAMVAAD 19
Page 1 and 2: Vol. 3 | Issue 3 | July 2016 QUARTE
Page 3 and 4: DIRECTOR’S MESSAGE GOODS & SERVIC
Page 5 and 6: GST - STATE’S PERSPECTIVE Prof. A
Page 7 and 8: INTERACTION WITH :- Mr. Arvind Kuma
Page 9 and 10: CAMPUS BUZZ Orientation Classes The
Page 11 and 12: CONVOCATION 2016 IBS Business Schoo
Page 13 and 14: CONVOCATION 2016 Mr. B.N Puri, Exec
Page 15 and 16: Prof. Vineeta Jha on “Branding of
Page 17 and 18: Prof. S. K. Baurai on “The Google
Page 19: ALL ABOUT GST BILL Robin Manocha* G
Page 23 and 24: AWARD WINNERS Ms. Hempriya Banga, r

Vol 3 | Issue 3 | July 2016

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?