India product service tax reform and Its Influence

2017Years7/Month India product service tax (GST) Reform formal implementation from tax rate design to tax system construction the very big of adjustment. This paper analysis the reform of national economic of actual influence has its advantages and disadvantages. It tax system itself for is very big of progress but tax rate design there are still defects; product and service trade although tax convenient Save the transaction cost but the price level of the adverse influence, lead to consumption weak; short-term in market may experience downturn of but tax reform is conducive to the formation new capital national economic has development potential. India future product service tax reform still have very big of space: tax rate design to balance financial income and market efficiency; take complementary strategy and auxiliary measures control the price level of influence; collection Measures to and tax system reform phase matching to maximize play tax reform of positive role.