Impact of the GST on the Development of Hospitality and Tourism Sector in India (original) (raw)

Impact of GST on Hotel Industry- A Study in Bhubaneswar City in Odisha

International Journal of Innovative Research in Engineering & Management, 2021

Three decades later, indirect taxation modifications took place in India on 1 July 2017. Goods and service tax is a uniform indirect tax to be applied across the country for the purpose of a "one nationone tax." This study seeks to show the effect on the Indian hospitality industry of the goods and services tax. The Indian market is integrated with the introduction of GST and the company costs will be lowered in the foreseeable future. The hotel industry was in burden with multiple taxes on amount charged for different services. Previously, additional charges were charged for different activities in hotel industry in India. But now in GST, single tax charged with clearly stated slab rates for various services. Slab rate increases with increase in number of services charged i.e., for basic services rates are less and luxurious services are under high GST slab rate. Here we try to explain the impact of GST system on hoteliers of Bhubaneswar city. For this purpose, researcher collected samples from 15 hotels of the city. This paper is aimed at assessing the observation and experience of hotel owners after GST in interacting with consumers.

A Study on Impact of GST on Hotel Industry with Reference to Ahmedabad City

GAP iNTERDISCIPLINARITIES - A GLOBAL JOURNAL OF INTERDISCIPLINARY STUDIES, 2020

After three decades, reforms in indirect tax system reflected on 1st July, 2017 in India. Goods and Services Tax is a single indirect tax with an aim of ‘one nation - one tax’ and is applicable in whole country. This present research work attempts to highlight the impact of Goods and Services Tax on Indian Hospitality Industry. With the implementation of GST, Indian market will be unified and this will also lower the cost of business in long run. The hotel industry was in burden with multiple taxes on amount charged for different services. Additional charges on various activities of hotels were charged previously. But now in GST, single tax charged with clearly stated slab rates for various services. Slab rate increases with increase in amount of services charged i.e. for basic services rates are less and luxurious services are under high GST slab rate. Here we try to explain the impact of GST system on hoteliers of Ahmedabad city. For this purpose researcher collected samples from ...

A Study on the Impact of Goods and Services Tax Reform on Hotels in Kerala

2019

Goods and Services Tax reform is one of the biggest reform in the history of independent India. It is a single tax on the supply of goods and services from the manufacturer to the consumer. The Indian Hotel Industry is one of the booming sectors in the economy and it contributes to around 6.23% of National GDP and 8.78 percent of the total employment in the country. A month after the introduction of GST; Ganesh Shetty, President of Restaurants and Hoteliers Association, Pune, said that the businesses in hotels across India had come down by 20%. He further stated that the hotels were incurring high costs in terms of the up gradation of IT infrastructure, training of personnel and hiring of experts for compliance with the new system of GST. The consumers also complained about the increase in their restaurant bills and have stated that their bills are more than the earlier regime. In this context, a study is undertaken to identify the problems and prospects of the impact of GST Reform ...

An Empirical Study on Impact of GST on Hotel Industry at Chennai City

Journal of emerging technologies and innovative research, 2020

This study aims to find out the influence of GST on Hotel Industry at Chennai city. The study was chosen five independent variables to identify the opinion of respondents on the implementation of GST namely GST is effective, easy to understand, taxation condition, profit margin and customer increase after GST. The study was empirical in nature. The study collectes data from 50 hotels (20 from 3 star, 20 from 4 star and 10 from 5 star hotels) by using structured scheduled interview method. Secondary data was collected from books, magazines and from websites. The sampling technique adopted for the study was disproportionate stratified random sampling method. The analysis such as descriptive statistics and multiple regression analysis are applied. The study found that there is a significant certain impact of GST implementation on hotel industry at Chennai city. The study concluded that GST in hotel industry will attract more customers to consume hotel service and also enhances revenues...

GST: A Step towards Strengthening Indian Economy

American Research Journal of Business and Management, 2020

The idea of Goods &Service Tax (GST) was contemplated in 2004 by the Task Force, named Kelkar Committee, on the implementation of Fiscal Responsibility and Budget Management Act, 2003 in India. This Committee was convinced that a dual GST system shall be able to tax all the goods and services in Indian Economy. It will be helpful to cover wider market of tax base system and also help to improve revenue collection through levying and collection of indirect tax. According to GST, every person is liable to pay tax on output and tax will be apply only on value added amount. GST consider the principle of "one nation, one tax and one market." GST exists in more than 160 countries of the world. It will help to improve the productivity in the country as well as benefited to the consumers because as maximum rate of GST is predetermined. It helps to avoid double taxation system, tax evasion etc. Government proposed State GST as well as Central GST. State GST includes sales tax/ VAT which are collected by states and Central GST includes excise duty, custom duty, service tax etc which are imposed by Central Government. In GST, goods and services rates classified under different five categories of taxes:-0 percent, 5 percent, 12percent, 18percent and 28 percent. The GST bill was implemented in India from 1 st April 2017. In this particular research paper we discuss about probable pros and cons of GST system in Indian context and positive and negative impact of GST on businesses and Indian Economy.

An Investigation study on Influence of Goods and Service Tax (GST) in Hotel Industry

Test Engineering and Management, 2020

Authors have performed an innovative investigation study on analyzing the decisive merits, major challenges and valuable suggestions for implementing the Goods and Service Tax (GST) in hotel industry. Forty In-depth interviews have been conducted from high profile designated personnel of hotel industry located in India. Noteworthy corollaries exhibit that uniformity and transparency are the prime merits of GST implementation in Hotel industry. Crucial challenges in implementing GST are applicability of tax rate structure and increased burden of compliance. Finally, Hotel authorities firmly suggest that well conversant rules and regulations of GST would be beneficial for the economy of Hotel industry.

Goods and service tax (gst) in indian economy- an overview

Journal of Management and Science, 2017

The Indian economic system is well structured and insulated to withstand the upsand downs in the economic cycle. This helped the Indian economy to survive during therecent economic crisis around the world. Even the globally accepted economic giants werealso affected adversely during the crisis. The recently implemented Goods and Service Tax-GST system is expected to be another milestone in the Indian economy. The border ideabehind GST is ‗One nation One tax system‘. The fundamental intention behind GST is toavoid compound taxation system and to administer uniformity in the scattered tax system ofthe country. The implementation of GST will reduce the tax burden of manufacturers indifferent sectors which in turn will enhance the units of production. This process willimprove the total exports and the benefits of the same will be reflected in total GNP. Theavoidance of cascading effect in taxation will reduce the tax burden in different players insupply chain and a portion of the benefi...

GST and Its Impact on Various Sectors

PARIPEX INDIAN JOURNAL OF RESEARCH

The idea of GST was conceived during the tenure of the prime minister Shri Atal Bihari Vajpayee.It took sixteen years to implement the taxation. Various aspects of GST were examined by working group of officials' representatives from state and center. The reports specifically on exemption and thresholds, taxation of services and taxation of inter-State supplies. Lack of political consensus, the bill failed after suspension. The implementation of GST invited a mixed response from the country.The paper attempts to analyses the GST implementation in 5 sectors.It also aims to suggest model to boost the few sunrise sectors.

GST- An Implications to An Indian Economy

International Journal of Management Studies

GST is one of the most essential tax reforms in India. It is considered and even stated as Giant Indirect Tax. It was supposed to be implemented from April 2010. However, it was long pending due to some political issues and conflicting interests of various stakeholders and hence the date for implementation of GST was shifted to 1st July 2017. Goods and services tax (GST) will add various indirect taxes including central excise duty, services tax, additional customs duty, surcharges, state-level value added tax and Octroi. GST implies that all the state in India will follow one tax rule which will not be based on state but on goods & services. This research paper will present an overview of GST which will provide descriptive and comparative data of rates VAT and GST .The main idea to understand whether implication of GST has made consumption cheaper or costly. Different products and services were compared in terms of VAT and GST, which results and concludes that GST implications has made some products and services consumption cheap and some costly when it's compared to VAT.

Impact of Goods and Services Tax (GST): Evidence from the Indian Economy

2019

Goods and service tax is the largest tax reforms in India. It is based on theme "one nation, one market, one market". The indirect tax authority of India has deconstructed all interstate obstacles with respect to tax. The GST grows up with a single stroke. It has converted Indian economy into unified market of 136 crore people. Basically the $ 2.97 trillion economy is trying to change itself by elimination of the internal tariff obstacles and containing central, state and local taxes into a unified GST. Goods and service tax is a consumption based tax or destination based tax. It is a multi-stage consumption based value added indirect tax on goods and services with their distribution.. Goods and service tax will be levied on the value of transaction. It levied on commission, packaging and other cost happened with respect to sales. It involves several types of indirect taxes e.g. state tax, local tax, entertainment tax, excise duty, surcharge, octroi and other. This paper is concentrated on advantages and challenges of GST faced by Indian economy. It introduces a summary of goods and service (GST) concept and describes its characteristics along with its timeline of implementation in India.