Opinions

April's GST spike, A collector's item



The weighted average tax rate in GST’s current avatar has slipped considerably below the revenue-neutral rate determined before its imposition. Ambitions of revenue buoyancy must necessarily be tempered until this gap begins to close. Neither the Centre nor the states seem to be in a tearing hurry to address the issue because of the headline-grabbing monthly collection numbers and the opposition to rationalising rates.



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