If you have been re-thinking your decision to buy the OnePlus 5 owing to the implementation of Goods and Service Tax (GST) in India, then the company has officially put to rest all the price-related worries. The OnePlus 5 smartphone was launched in India last month, however, the recent rollout of the new tax regime triggered uncertainties about price rise. BGR India reached out to OnePlus, and here's what the company has to say.
Uber and Ola drivers in India have already been facing the brunt of falling incentives, and potentially adding to their misery could be GST. Rolled out on July 1, India's reformed tax structure could increase the EMIs of these cab drivers.
Domestic smartphone players are hailing the government's decision to impose 10 percent basic customs duty (BCD) on cellular mobile phones and specified parts like charger, battery, wire headset, microphone and receiver, keypad and USB cable to protect local manufacturers.
In a bid to protect local manufacturers, the government has imposed a 10 percent basic customs duty (BCD) on cellular mobile phones and specified parts of cell phones like charger, battery, wire headset, microphone and receiver, keypad and USB cable.
At the stroke of the midnight hour, 70 years after independence, India was united by the one tax regime: GST or Goods and Services Tax. The government had long been in talks regarding the implementation of the one indirect tax for the entire nation. The taxation structure in the country has completely changed with many utilities getting more expensive or cheaper, depending on the difference in the percent of change brought by GST implementation. The 'One Nation, One Tax' philosophy has been constantly propagated by the government.
As India moves towards a unified tax regime with GST becoming operational from tomorrow, there is both intrigue and concern across industries. Almost no sector is entirely sure of the ramifications of this major tax reform. The mobile phone industry, for instance, is uncertain of the taxes it'll have to bear, and the pros and cons of this reform across the value chain from manufacturers and distributors to retailers and customers.
With only two days to go before GST becomes functional, Amazon India has launched an initiative to help its vendors and merchants understand rules, regulations and compliances better. The e-commerce giant has set up 16 GST Cafes at various Amazon Service Provider and Amazon partner sites across 11 Indian cities. These support centers will address sellers queries on GST compliance, and help them smoothly transition into the new tax regime. The cafes opened on June 26, and will be operational for two weeks.
The Ministry of Finance has issued a statement regarding a clause in goods and services tax (GST) -- which rolls out in four days -- that will make e-commerce firms heave a sigh of relief. The government has deferred the implementation of TCS (tax collected at source) that required the likes of Amazon India and Flipkart to deduct a one percent tax on payments exceeding Rs 2.5 lakh to their suppliers. A new date of its implementation would be announced later, PTI reported.
Amazon India has announced that it will set up 12 temporary physical stores across the country to push its fashion sale event scheduled for this weekend. The offline shops can be located in technology parks of Bengaluru, Delhi-NCR, and Mumbai. The Amazon End-of-season-sale will reportedly have partnered brands and sellers also clearing their stock before the Goods and Service Tax (GST) roll out on July 1, as tax regulations and prices will change post that.
GST is being hailed as the single biggest tax reform in India since Independence. Slated to roll out on July 1, this unified taxation system will subsume multiple indirect taxes Service Tax, Central Excise, Octroi or Entry Tax, Value Added Tax that are currently levied on goods and services, and will bring them under one tax component.
Imported mobile phone and electronics could cost more thanks to the addition of customs duties post implementation of the goods and services tax (GST) regime. After GST, the present excise duty which stands at 1 percent is likely to be waived off, but the government is considering implementing customs on imported electronics that might drive the price up by 10-15 percent. The government has been pushing manufacturers to shift production to India for domestic and export demand under the 'Make in India' scheme, and may use this to further push this.
As e-commerce transactions involve multiple parties and spawn across nations, the Internet and Mobile Association of India has sought clarity on taxing them under the proposed Goods and Services Tax (GST) regime. "Sector-specific provisions are needed in GST for taxes on transactions in e-commerce space, as multiple parties and transactions across nations are giving rise to international and Indian regulatory issues," the association said in a joint report it prepared with global professional services firm PricewaterhouseCoopers (PwC).
The telecom industry is concerned at the increase in service tax from current 12 percent under the Goods and Services Tax (GST) would increase the cost of service, the Cellular Operators' Association of India (COAI) said in its budget recommendations to the finance ministry.