GST: Goods and Service Tax.
GST will be a only indirect tax inside the country to remove the cascading effect of various tax imposed on Goods and Services. It will replace all the manufacturing, VAT, service,sale and all the Indirect taxes levied by Central and State Government . In brief there are many taxes that are simultaneously imposed by State and Central Government hence it produces the Cascading effect that is tax on tax. This Cascading Tax regime put a burden and negativity in the sense of Taxation in India. These all problem will be replaced by GST. GST will be the only Tax and hence it will attract the tax payers and increase the numbers of contributors. But remember many of the items are not included in GST as Petroleum , Liquor etc. State government will charge the tax accordingly. But over all impact of GST will be an Increase in Annual Tax collection.