NEW DELHI/NOIDA:
Government of India aims to slash good & service taxes on small segment cars and insurance premia as part of reform in goods and services tax (GST) to boost the economy including Indian stock market. This policy to bring reforms in GST slab by the Government of India is likely to boost Indian economy and further share market as well seeing sensitivity towards growing business.
A reliable source from the Government of India said on Monday, as Prime Minister Narendra Modi’s plan is likely to sparked a rally in stock markets.
Modi’s administration revealed plans of the biggest tax overhaul since 2017 over the weekend, and consumer, auto and insurance sectors are likely to emerge as the biggest winners out of this GST reforms proposed as it was described by Prime Minister Narendra Modi during his 79 th Independence Day speech from Red Fort after unfurling of national flag.
The above policy in reforms of GST is likely to be implemented in forthcoming festival season in mid October-November this year itself. Infact entire insurance sector was badly affected due to imposition of 18% GST on all insurance premia.
Further mid segment cars and Insurance sector can also see lower rate of GST from 5-10% segment category. After implementation of new GST rate products & services prices is likely to drop from October-November once the reform is approved and announced to be implemented.
