A

PROJECT REPORT
ON

EFFECTS OF GOODS AND SERVICES

TAX (GST) IN TATA MOTORS

SUBMITTED TO
IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE DEGREE
OF
BACHELOR OF BUSINESS ADMINISTRATION
(GRAPHIC ERA HILL UNIVERSITY)

SUBMITTED TO- SUBMITTED BY-

DR. VIKAS TYAGI NAMAN DARMWAL
ASSICOATE PROFESSOR BBA VI (FINANCE)
SCHOOL OF MANAGEMENT Roll No.2226370
GRAPHIC ERA HILL UNIVERSITY
 DECLARATION

I Hereby declare that the project entitles “EFFECTS OF GOODS AND SERVICES TAX
(GST) IN TATA MOTORS”
Submitted to Graphic Era Hill University, Dehradun in partial fulfilment of the
requirement for Bachelor of Business Administration is my original work.

It is by my own and not copied one from other.

NAMAN DARMWAL
 GUIDE CERTIFICATE

This is to certify that the project work done on EFFECTS OF GOODS AND
SERVICES TAX (GST) IN TATA MOTORS

” Submitted to School of Management, Graphic Era Hill University, Dehradun by

NAMAN DARMWAL in partial fulfilment of the requirement for the award of
Bachelor of Business Management, is a Bonafide work carried out by him under my
supervision and guidance. This work has not been submitted anywhere else for any
other degree/diploma.

Date: 25/05/2025
DR. VIKAS TYAGI
ASSOCIATE PROFESSOR
 ACKNOWLEDGEMENT

I would like to express my sincere gratitude to all those who have contributed to the
completion of this EFFECTS OF GOODS AND SERVICES TAX (GST) IN
TATA MOTORS
I would also like to extend my appreciation to the faculty members of the BBA
program for their valuable inputs and scholarly guidance. Their academic rigor and
intellectual mentorship have been instrumental in enriching my understanding of the
subject matter and refining my Report methodologies.
Furthermore, I would like to acknowledge the support of my family, friends, and
colleagues for their encouragement, understanding, and patience throughout this academic
journey. Their unwavering support and encouragement have been a constant source of
motivation and inspiration.
Lastly, I express my heartfelt appreciation to Graphic Era Hill University, Dehradun for
providing me with the resources, facilities, and academic environment conducive to
conducting this research. The opportunities for learning and growth offered by the
university have been invaluable in shaping my academic and professional development.
 PREFACE

Tax policies play an important role on the economy through their impact on both
efficiency and equity. A good tax system should keep in view issues of income
distribution and, at the same time, also endeavor to generate tax revenues to support
government expenditure on public service and infrastructure development. Cascading
tax revenues have differential impact on firms in the economy with relatively high
burden on those not getting full offsets.
This argument can be extended to international competitiveness of the adversely
affected sectors of production in the economy. Such domestic and international factors
lead to inefficient allocation of productive resources in the economy. This results in loss
of income and welfare of the affected economy.
Value added tax was first introduced by Maurice Laure, a French economist, in 1945.
The tax was designed such that the burden is borne by the final consumer. Since VAT
can be applied on goods as well as services it has also been termed as goods and service
tax (GST). During the last four decades VAT has become an important instrument of
indirect taxation with 130 countries having adopted this, resulting in one fifth of the
world’s tax revenue. Tax reform in many of the developing countries has focused on
moving VAT. Most of these countries have gained thus indicating that other countries
would gain from its adoption. For a developing economy like India, it is desirable to
become more competitive and efficient in its resource's usage. Apart from various other
policy instruments, India must pursue taxation policies that would maximize its
economic efficiency and minimize distortion and impediments to efficient allocation of
resources, specialization, capital formation and international trade.
 TABLE OF CONTENTS

Sr. No. Chapters Contents Page No.

1 Cover Page I
2 Certificate II
3 Acknowledgment III
4 Preface IV
5 V
6 Abstract Vi
7 Table of Contents Vii
8 List of Tables iX
9 List of Figures Xi
10 Abbreviations Xii

11 1 Introduction of the Topic . 1 --- 32

12 Concept of Tax Meaning and 2
Definitions, Features .
13 Types of Taxes 3
14 Structure of Tax 4
15 Taxation System in India. 5
16 Concept Of GST 8
17 Meaning , definitions , features of GST. 5
18 Background of GST in Outside India 9
and with in India
19 The Uttarakhand GST Act 2017 11
20 GST structure and Types of GST 12
21 Challenges of GST implementations 15
22 Opportunities of GST 18
23 Impact of GST in different Sectors. 24
24 Benefits Of GST . 28
25 How to File GST Return and Tax Slab 32
of GST.
 Sr. No. Chapters Contents Page No.
26 2 Literature Review 33--39

27 3 Research Methodology 40 --- 47

28 Introduction of research methodology 42
29 Problem Statement
30 Need of Study
31 Scope of Study
32 Objective of Study 43
33 Methodology used in study
34 Research Design 45
35 Sample Design
36 Sample Size
37 Data Collection 47
38 Meaning , Types of Data collection
39 Data Analysis Instrument .

40 C.. 0 4 Data Analysis and Interpretation . 48 --- 75

41 Data represents in Tables and Graphs 49
42 Section A 50 – 55
Respondents Informations.
43 Section B 56-- 75
Data Collected from GST Perception

44 C...0 5 Summary 76
45 Findings 77
46 Suggestions 78
47 Conclusion and References 79
48 Questionnaire. 81 – 83
LIST OF TABLES

Table No. Details of Tables Page No.

4.1 Classification of age group of the respondents. 49

4.2 Classification of qualification of the respondents. 50

4.3 Classification on the basis of their Status. 51
4.4 Classification on the basis of Gender. 52
4.5 Classification on the basis of their Occupations. 53
4.6 Classification on the basis of their perception towards 54
statements are follows
4.7 GST is a very good tax reforms for India. 55

4.8 GST has increased the various legal formalities. 56

4.9 GST has increased the tax burden on common man. 57

4.1 India is really ready for GST implementation. 58

4.11 GST has increased the tax burden on businessman. 59

4.12 Govt has imposed GST on people without any 60

preparation.
4.13 GST is very difficult to understand . 61

4.14 GST will increased the inflation in the country. 62

4.15 GST is beneficial in Long Term. 63

4.16 GST will increase the Tax collection of GOVT. 64

.4.17 GST will affecting small business very badly. 65

4.18 GST is impacts the customer purchasing power in 66

effectively.
4.19 GST affects the Indian capital stock market operations. 67

4.2 GST will cause an increase in the cost of living. 68

Table No. Details of Tables Page No.
4.21 GST is a good method to replace the sales and service 69
tax.
4.22 The implementation of GST will result in the products 70
and services to be more expensive.

4.23 The newly Implemented GST confused the customers. 71

4.24 The Goods and Service Tax system is a way for the 72
government to collect revenue to manage an economy.

4.25 Sentences and wording of GST guide is very lengthy and 73

not user friendly.
4.26 Classification of respondents on their response regarding 74
statement GST encourage individuals to save part of their
income .
 LIST OF ABBREVATIONS

GST Goods and Services Tax

SST Sales Tax and Service Tax
UKCD Uttarakhand Custom Department
INT Intention to GST Compliance
TLE Tax Law and Enforcement
TK Tax Knowledge
TSC Tax System Complexity
CGST Central Goods and Services Tax
SGST State Goods and Services Tax
IGST Integrated Goods and Services Tax
 Chapter1

Introduction
 Essentials Characteristics of Tax:
1. It is an enforced Contribution.
2. It is generally payable by Money.
3. It proportionates in character, usually based on ability to pay.
4. It is levied on person and property under the jurisdiction of the state.
5. It is levied for public purposes.
6. It is commonly required to be paid at regular intervals.

Why are Taxes Levied?

The reason for levying taxes is that they constitute the government's basic source of
revenue. Revenue raised is utilized for meeting the expenses of government like
defense, provision of education, health care, Infrastructure facilities like roads, dams
etc.

What are the Reasons for Taxation?

1. Provide the basic facilities for every citizen of the country.
2. Finance government multiple projects and schemes.
3. Protection of Life.
4. Responsibility of citizen to the Nation.

Meaning of Tax:
The word Tax came from Latin word “Taxo, Tax are '' which means to assess or
estimate. Tax can be defined in the following ways:
‘The compulsory payments made to governments associated with certain activities
are called Taxes'.
‘A general purpose, compulsory contribution by the people to public treasury to meet
the expenditure of government is called Tax '’.

‘A specific amount of money demanded by government from its public levied on their
income, sales, wealth etc.’

‘Taxes are the price we pay for a civilized society’.

Tax in general, is the imposition of financial charge upon an individual or a company

by the govt of India or their respective state or similar other functional equivalents in a
state. The computation and imposition of the varied taxes prevalent in the country are
carried out by the Ministry of Finance Department of Revenue.

(3)
 Different Types of Taxes in India:
Prevalence of various kinds of taxes is found in India. Taxes in India can be either direct
or indirect. However, the types of taxes even depend on whether a particular tax is being
levied by the central or the state government or any other municipalities. Following are
some of the major Indian government:

1. Direct Taxes:

It is names so because it is directly paid to the union government of India. As per a

survey, the Republic of India has witnessed a consistent rise in the collection of such
taxes over a period of past years. The visible growth in these tax collections as well as
the rates of taxes reflects a healthy tax along with better administration of taxation. To
name a few of the direct taxes, which are imposed by the Indian government are:
i) Banking cash Transaction Tax.
ii) Corporate Tax.
iii) Capital Gains Tax.
iv) Double Tax Avoidance treaty.
v) Fringe Benefit Tax.
vi) Securities Transaction Tax.
vii) Personal Income-tax.
viii) Tax Incentives.

2. Indirect Taxes:
As opposed to direct taxes, such a tax in the nation is generally levied on some specified
services or some goods. An indirect tax is not levied on any organization or an
individual. Almost all the activities, which fall within the periphery of the indirect
taxation, are included in the range starting from manufacturing goods and delivery of
services to those that are meant for consumption.
 Usually, the indirect taxation in the Indian Republic is a complex procedure that
involves laws and regulations, which are interconnected to each other. These taxation
regulations even include laws specific to some of the country's states. The organizations
offer services in all or most of the related fields, some of which are as follows:
i) Anti-Dumping Duty
ii) Custom Duty.
iii) Excise Duty.
iv) Sales Tax.

v) Service Tax.

vi) Value Added Tax. Or VAT

3. Local Taxes in India:

The most well-known tax, levied by local municipal jurisdictions on the entry of
goods, is known as the Entry Tax or the Doctor Tax.

4. Income Tax:
Income tax in India includes all income except the agricultural income that is levied
and collected by the central government. This income is shared with the states. The
income tax was incorporated in India from the year 1860.
However, after many alterations, finally with the Indian Income-tax Act, 1922, there
was a revolutionary change brought by the All-India Income Tax Committee. The
significant as after this the Income Tax administration came under the central
Government's direct control. This act got amended again in the year 1961, and the
present Income Tax regime in India is still following the provisions of the act of 1961.

5. Consumption Tax:

Consumption Tax is applicable on the consumption of any type of goods or service.

This tax is based on consumption, not income. The consumption Tax can be regarded
as a sales tax, as this tax is also regressive in nature like the other pure sales taxes.
However, there are some remedies by which the consumption tax can be made
progressive in nature.
1.1 Background of Goods and Service Tax Outside India
Goods and Service are also known as the value added tax (VAT) or Harmonized sales
tax. Following are some successfully implemented GST models in other countries:
1. Francee
a. Rate of GST 19.6%

b. France was the first country to introduced GST in 1954.

c. Worldwide, almost 150 countries have introduced GST in one or the other form
since now. Most countries have a unified GST System. Brazil and Canada follow
a dual system vis a vis India is going to introduce. In China, GST applies only to
goods and the provisions of repairs, replacements and processing services.

2. Australia:
a. Rates of GST 10%
b. GST is administrated by the tax office on behalf of the Australian Government
and is appropriated to the states and territories.
c. Every company whose turnover exceeds $ 75000 is liable for registration under
GST and in default 1/11th of the income and some amount is a form of penalty.

3. Canada:
a. GST is imposed at 5% in Part ix of the excise tax act. GST is levied on goods and
service made in Canada except items that are either exempt or zero rated.
b. When a supplier makes a zero-rated supply, he is eligible to recover any GST
paid on purchases but the supplier who makes a supply of exempt goods he is not
eligible take input tax credit on purchases for the purpose of making the exempt
goods and services.

4. New Zealand:
a. Rate of GST 12.5%
b. Exceptions are rent collected on residential rental properties, donations and
financial services.
 Historical Background of Goods and Service Tax in India:
1. Amaresh Bagchi Report, 1994 suggests that the introduction of Value Added Tax will
act as root for implementation of Goods and Service Tax in India.
2. Ashim Dasgupta, 2000 empowered committee, which introduces VAT system in
2005, which has replaced old age taxation system in India.
3. Vijay Kelkar Task Force 2004, it strongly recommended that the integration of
indirect taxes into the form of GST in India.
4. Announcement of GST to be implemented by 1st April 2010 After successfully
implementation of VAT system in India and suggestion various committees and task
forces on GST, the union government first time in union budget 2006-07 announced
that the GST would be applicable from 1st April 2010.
5. The Government has formed various joint working groups of state finance ministers to
study the impact of GST in various states.
6. The empowered committees of state finance ministers after various meetings reached
on amicable formula for implementation of GST in India.
7. Task force of finance ministers has submitted their report in December 2009 on
structure of GST in India.
8. In August, 2013 Standing committee on Finance tabled its report on GST Bill.
9. In December 2014 a revised constitution Amendment bill was tabled in Parliament.
10. On June 14, 2016, the ministry of finance released draft model law on GST in public
domain for views and suggestions.
11. GST bill passed in Rajya Sabha on 3rd August 2016 the constitution amendment
(122nd) bill 2014 was passed by Rajya Sabha with concern amendments.
a. The changes made by Rajya Sabha were unanimously passed by Lok Sabha.
b. After the passage of amendment bill in Rajya Sabha and the charges
subsequently ratified and passed by the Lok Sabha unanimously, the bill was
adopted by most state Legislatures where in approval by at least 50% of the state
Assemblies was required.
c. The final step to the constitution (122nd) amendment bill, 2014 becoming an act
was taken when the Honorable President of India gave his final assent on
September 8, 2016.
12. In 2017 – Four GST related bills become act to following President's assent and
passage in parliament:
a. Central GST Bill.
 b. Integrated GST Bill.
c. Union Territory GST Bill.
d. GST (compensation to states) Bill.
13. In 2017 GST Council finalizing the GST Rules and GST Rates.
14. When GST is Applicable – Modi Govt. Want to applicable GST Bill from 1st July
2017, Due to some legal Problems GST Bill is not applicable before 1st July 2017

Concept Of Goods and Service Tax (GST)

Introduction Of GST
The reference of GST was first made in the Indian Budget in 2006-07 by the finance
minister

Mr. P. Chidambaram as a single centralized Indirect tax. The GST constitution (122 nd)
Amendment Bill 2014 was introduced on December 19, 2014, and passed on May 06,
2015, in the Lok Sabha and

yet to be passed in the Rajya Sabha.

The bill seeks to amend the constitution to introduce Goods and Services tax vide
proposed new article 246 A. This article gives power to Legislature of every state and
parliament to make laws with respect to goods and services tax where the supplies of
goods or of service take place. Recently, Union Minister Mr. Arun Jaitley said that GST
could be implemented as early as January 1, 2016.

Note: The word bill may be interpreted as the constitution (122nd) Amendment Bill
2014.

GST (Amendment) Act, 2018 from 1st February 2019

Updated on Jan 31, 2019 - 05:41:58 PM

The President of India gave assent on 29th August 2018 to make amendments to
following GST laws:
 The Central Goods and Services Tax (Amendment) Act 2018

 The Integrated Goods and Services Tax (Amendment) Act 2018

 The Union Territory Goods and Services Tax (Amendment) Act 2018

 The Goods and Services Tax (Compensation to States) Amendment Act 2018.

The GST council in its 31st GST Council Meeting held-on 22nd December 2018, has
announced through the press release that the effective date of applicability of
amendments in GST Act(s) 2018will be from 1st February 2019.

Latest Updates on GST Law!

 CBIC has notified (under CGST & IGST) that all the changes to GST Law as covered
in this article will be applicable from 1st Feb 2019.

 Applicable from 1st Feb 2019, 01/2019 Central tax rate notification
& 01/2019Integrated Tax Rate Notification states that the provision of RCM under Sec
9(4) – purchase of goods from unregistered supplier shall now stand to be applicable
blanket all intra-state supplies(irrespective of the daily limit per supplier of Rs 5000 that
was earlier notified).
Further, the Sec 9(4) has been amended to refer only to specified goods and services as
notified by the Government and not all supplies. But the list is yet to be notified, after
which this provision Sec 9(4) shall apply to all such supplies notified.

 The GST Rules have been amended to be in line with the changes brought on to the Act.
Check out the amendments 03/2019 CT, 05/2019 CT, 06/2019 CT, 02/2019
IT & 03/2019 IT

Definitions of CGST Act 2017

Section 2(4). Adjudicating Authority:

New Definition: “adjudicating authority” means any authority, appointed or authorised

to pass any order or decision under this Act, but does not include the Central Board of
Indirect Taxes and Customs, the Revisional Authority, the Authority for Advance
Ruling, the Appellate Authority for Advance Ruling, the Appellate Authority, the
Appellate Tribunal and the Authority referred to in sub-section (2) of section 171”

Earlier Definition: “adjudicating authority” means any authority, appointed or

authorized to pass any order or decision under this Act, but does not include the Central
Board of Excise and Customs, the Revisional Authority, the Authority for Advance
Ruling, the Appellate Authority for Advance Ruling, the Appellate Authority and the
Appellate Tribunal;

Section 2(17) (h). Definitions of CGST Act 2017: business

New Definition: activities of a race club including by way of totalizator or a license to

bookmaker or activities of a licensed bookmaker in such club; and

Earlier Definition: services provided by a race club by way of totalizator or a license

to bookmaker in such club.

Meaning Of Goods and Service Tax (GST)

Clauses 366 (12A) of the constitution Bill defines GST as “goods and service tax”
means any tax on supply of goods, or services or both except taxes on the supply of
the liquor for human consumption. Further the clause 366 (26A) of the Bill defines
Services means anything other than Goods.
Thus it can be said that GST is a comprehensive tax levy on manufacture , sale and
consumption of goods and services at a national level . The proposed tax will be levied
on all transactions involving supply of goods and services, except those which are kept
out of its preview.
Purpose of GST:
The Two Important Purposes of GST are followings:

Single Umbrella Tax Rate:

GST shall replace indirect taxes levied by the union and state government.

Removing Cascading Effect:

GST is intended to remove Tax on Tax Effect and provides to common national
market for Goods and Services.

Types Of Categories under GST rate

The GST tax is levied based on Revenue Neutral Rate . For imposing GST tax in
India, the goods and services are categorized in to four.

These are four categories of goods and services are follows:

Exempted Categories under GST in India :

The GST and council and other GST authorities notify list of exempted goods. Such
goods do not fall under payment of GST tax. The authorities may modify or amend the
list time to time by adding or deleting any item if required by notification to the public.

Essential Goods and Services for GST in India:

Essential Category of goods and services are charged very lower GST rate. Essential
goods and services are the goods and services for necessary items under basic
importance.
Standard Goods and services for GST in India:
A major share of GST tax payers falls under this category of Standard Goods and
Service. A Standard rate is charged against the goods and services under this category.

Special Goods and Services for GST tax Levy:

Under special category of goods and services, GST rates would be high. Precious metals
including luxury items of goods and services fall under special goods and services for
GST rate implementations.

GST rates in India at a glance:

Exempted categories: 0%
Commonly used Goods and Services : 5%
Standard Goods and Services fall under 1st Slab :

12% Standard Goods and Services fall under 2nd Slab

: 18%

Special category of Goods and Services including Luxury Goods: 28%

Types Of Goods and Service Tax in India:

1. CGST (Central Goods and Service Tax): GST to be levied by the center.
2. SGST (State Goods and Service Tax): The GST is to be levied by the states as
State GST (SGST).

3. IGST (Integrated Goods and Service Tax): Integrated GST will be levied by the
center and the states concurrently.
 Different Taxes are Cover under GST:
1. State taxes which will be subsumed in SGST:
VAT/ Sales Tax. Luxury Tax.
Entertainment Tax (unless it is levied by local bodies) Taxes on Lottery, betting, and
gambling.
2. Central Taxes which will be subsumed in CGST :
Central Excise Duty. Additional Excise Duty. Service Tax.
The Excise duty levied under the medical and toilet preparation Act. Additional Customs
Duty.
Education Less.
Surcharges.
3. Taxes that will not be subsumed:
Stamp Duty. Electricity Duty.
Other Entry taxes and Octori Entertainment Tax ( levied by local

bodies.) Basic Customs duty and safeguard duties on import of

goods in to India. Professional Tax.

Models of Goods and Service Tax :

Salient Features of GST
The salient features of GST are as under:
i) The GST would be applicable on the supply of goods or services as against the
present concept of tax on the manufacture and sale of goods or provision of
services. It would be a destination based consumption tax.

ii) It would be a dual GST with the Center and States simultaneously levying it on a
common tax base. The GST to be levied by the Center on intrastate supply of goods
and / or services would be called the Central GST (CGST) and that to be levied by
the States would be called the State GST (SGST).
 iii) The GST would apply to all goods other than alcoholic liquor for human
consumption and five petroleum products, viz. petroleum crude, motor spirit
(petrol), high speed diesel, natural gas and aviation turbine fuel. It would apply to
all services barring a few to be specified

iv) Tobacco and tobacco products would be subject to GST.

v) The GST would replace the following taxes currently levied and collected by the Center:
a. Central Excise duty
b. Duties of Excise (Medicinal and Toilet Preparations)
c. Additional Duties of Excise (Goods of Special Importance)
d. Additional Duties of Excise (Textiles and Textile Products)
e. Additional Duties of Customs (commonly known as CVD)
f. Special Additional Duty of Customs (SAD)
g. Service Tax Central Surcharges and Cesses so far as they relate to supply of goods and
services.
(i) State taxes that would be subsumed under the GST are: a. State VAT b. Central

Sales Tax c. Luxury Tax d. Entry Tax (all forms) e. Entertainment and Amusement Tax
(except when levied by the local bodies) f. Taxes on advertisements g. Purchase Tax

(ii) The CGST and SGST would be levied at rates recommended by the GST Council.
(iii) There would be a floor rate with a small band of rates within which the States may fix the
rates for SGST.
(iv) The list of exempted goods and services would be common for the Center and the
States which would be finalized by GST Council.

(v)An Integrated GST (IGST) would be levied and collected by the Center on inter-State

supply of goods and services. Accounts would be settled periodically between the
Center and the States to ensure that the SGST portion of IGST is transferred to the
destination State where the goods or services are eventually consumed.

(vi) Tax payers shall be allowed to take credit of taxes paid on inputs (input tax credit)
and utilize the same for payment of output tax. However, no input tax credit on account
of CGST shall be utilized towards payment of SGST and vice versa. The credit of IGST
 would be permitted to be utilized for payment of IGST, CGST and SGST in that order.

(vii) HSN (Harmonized System of Nomenclature) code shall be used for classifying the
goods under the GST regime. It is being proposed that taxpayers whose turnover is
above Rs. 1.5 cores but below Rs. 5 cores shall use 2 digit code and the taxpayers whose
turnover is Rs. 5 cores and above shall use 4 digit code. Taxpayers whose turnover is
below Rs. 1.5 cores will not be required to mention HSN Code in their invoices.

(viii) Exports shall be treated as zero-rated supply. No tax is payable on export of goods
or services but credit of the input tax related to the supply shall be admissible to
exporters and the same can be claimed as refund by them.

(ix) Import of goods and services would be treated as inter-State supplies and would be
subject to IGST in addition to the applicable customs duties. The IGST paid shall be
available as ITC for payment of taxes on further supplies.

(x) The laws, regulations and procedures for levy and collection of CGST and SGST would

be harmonized to the extent possible.

Challenges of GST implementations :

1. With respect to Tax Threshold

The threshold limit for turnover above which GST would be levied will be one area
which would have to be strictly looked at. First of all, the threshold limit should not be
so low to bother small scale traders and service providers. It also increases the allocation
of government resources for such a petty amount of revenue which may be much more
costly than the amount of revenue collected. The first impact of setting higher tax
threshold would naturally lead to less revenue to the government as the margin of tax
base shrinks; second it may have on such small and not so developed states which have
set low threshold limit under current VAT regime.
2 With respect to nature of taxes

The taxes that are generally included in GST would be excise duty, countervailing duty,
cess, service tax, and state level VAT among others. Interestingly, there are numerous
other states and union taxes that would be still out of GST.

3 With respect to number of enactments of statutes

There will two types of GST laws, one at a center level called ‘Central GST (CGST)’
and the other one at the state level - ‘State GST (SGST)’. As there seems to have
different tax rates for goods and services at the Central Level and at the State Level, and
further division based on necessary and other property based on the need, location,
geography and resources of each state.

4 With respect to Rates of taxation

It is true that a tax rate should be devised in accordance with the state’s necessity of
funds. Whenever states feel that they need to raise greater revenues to fund the increased
expenditure, then, ideally, they should have power to decide how to increase the
revenue.

5 With respect to tax management and Infrastructure

It depends on the states and the union how they are going to make GST a simple one.
Success of any tax reform policy or managerial measures depends on the inherent
simplifications of the system, which leads to the high conformity with the administrative
measures and policies.
 Opportunities of GST

1. An end to cascading effects

This will be the major contribution of GST for the business and commerce. At present,
there are different state level and center level indirect tax levies that are compulsory one
after another on the supply chain till the time of its utilization.

2 Growth of Revenue in States and Union

It is expected that the introduction of GST will increase the tax base but lowers down
the tax rates and also removes the multiple point This, will lead to higher amount of
revenue to both the states and the union.

3 Reduces transaction costs and unnecessary wastage's

If government works in an efficient mode, it may be also possible that a single

registration and single compliance will suffice for both SGST and CGST provided
government produces effective IT infrastructure and integration of such infrastructure
of states level with the union.

4 Eliminates the multiplicity of taxation

One of the great advantages that a taxpayer can expect from GST is elimination of
multiplicity of taxation. The reduction in the number of taxation applicable in a chain
of transaction will help to clean up the current mess that is brought by existing indirect
tax laws.

5 One Point Single Tax

Another feature that GST must hold is it should be ‘one point single taxation’. This also
gives a lot of comforts and confidence to business community that they would focus on
 business rather than worrying about other taxation that may crop at later stage. This will
help the business community to decide their supply chain, pricing moralities and in the
long run helps the consumers being goods competitive as price will no longer be the
function of tax components but function of sheer business intelligence and innovation.

6 Reduces average tax burdens

Under GST mechanism, the cost of tax that consumers have to bear will be certain, and
GST would reduce the average tax burdens on the consumers.

7 Reduces the corruption

It is one of the major problems that India is overwhelmed with. We cannot expect
anything substantial unless there exists a political will to root it out. This will be a step
towards corruption free Indian Revenue Service.

Impact of Goods and Service Tax

I. Food Industry

The application of GST to food items will have a significant impact on those who are
living under subsistence level. But at the same time, a complete exemption for food
items would drastically shrink the tax base. Food includes grains and cereals, meat, fish
and poultry, milk and dairy products, fruits and vegetables, candy and confectionery,
snacks, prepared meals for home consumption, restaurant meals and beverages. Even if
the food is within the scope of GST, such sales would largely remain exempt due to
small business registration threshold. Given the exemption of food from CENVAT and
4% VAT on food item, the GST under a single rate would lead to a doubling of tax
burden on food.

II. Housing and Construction Industry

 In India, construction and Housing sector need to be included in the GST tax base
because construction sector is a significant contributor to the national economy.

III. FMCG Sector

Despite of the economic slowdown, India's Fast Moving Consumer Goods (FMCG) has
grown consistently during the past three – four years reaching to $25 billion at retail
sales in 2008. Implementation of proposed GST and opening of Foreign Direct
Investment (F.D.I.) are expected to fuel the growth and raise industry's size to $95
Billion by 201835.

IV. Rail Sector

There have been suggestions for including the rail sector under the GST umbrella to
bring about significant tax gains and widen the tax net so as to keep overall GST rate
low. This will have the added benefit of ensuring that all inter – state transportation of
goods can be tracked through the proposed Information Technology (IT) network.

V. Financial Services

In most of the countries GST is not charged on the financial services. Example, In New
Zealand most of the services covered except financial services as GST. Under the
service tax, India has followed the approach of bringing virtually all financial services
within the ambit of tax where consideration for them is in the form of an explicit fee.
GST also include financial services on the above grounds only.

VI. Information Technology enabled services

To be in sync with the best International practices, domestic supply of software should
also attract
 G.S.T. on the basis of mode of transaction. Hence if the software is transferred through
electronic form, it should be considered as Intellectual Property and regarded as a
service. And if the software is transmitted on media or any other tangible property, then
it should be treated as goods and subject to G.S.T. 35 According to a FICCI – Technopak
Report. Implementation of GST will also help in uniform, simplified and single point
Taxation and thereby reduced prices.

VII. Impact on Small Enterprises

There will be three categories of Small Enterprises in the GST

regime. Those below threshold need not register for the GST

Those between the threshold and composition turnovers will have the option to pay a
turnover based tax or opt to join the GST regime.

Those above threshold limit will need to be within framework of GST Possible
downward changes in the threshold in some States consequent to the introduction of
GST may result in obligation being created for some dealers. In this case considerable
assistance is desired. In respect of Central GST, the position is slightly more complex.
Small scale units manufacturing specified goods are allowed exemptions of excise up
to Rs. 1.5 Cr ores. These units may be required to register for payment of GST, may see
this as an additional cost.
 Benefits of GST

(A) Make in India

(i) Will help to create a unified common national market for India, giving a boost to
Foreign investment and “Make in India” campaign

(ii) Will prevent cascading of taxes as Input Tax Credit will be available across goods
and services at every stage of supply;

(iii) Harmonization of laws, procedures and rates of tax;

(iv) It will boost export and manufacturing activity, generate more employment and
thus increase GDP with gainful employment leading to substantive economic growth;

(v) Ultimately it will help in poverty eradication by generating more employment

and more financial resources;

(vi) More efficient neutralization of taxes especially for exports thereby making our
products more competitive in the international market and give boost to Indian Exports;

(vi) Improve the overall investment climate in the country which will naturally
benefit the development in the states;

(vii) Uniform SGST and IGST rates will reduce the incentive for evasion by
eliminating rate arbitrage between neighboring States and that between intro and inter-
state sales;
 (viii) Average tax burden on companies is likely to come down which is expected to
reduce prices and lower prices mean more consumption, which in turn means more
production thereby helping in the growth of the industries . This will create India as a ”
Manufacturing hub”.

(B) Ease of Doing Business

(i) Simpler tax regime with fewer exemptions;

(ii) Reductions in the multiplicity of taxes that are at present governing our indirect
tax system leading to simplification and uniformity;

(iii) Reduction in compliance costs - No multiple record keeping for a variety of taxes - so
lesser investment of resources and manpower in maintaining records;
(iv) Simplified and automated procedures for various processes such as registration, returns,
refunds, tax payments, etc;

(v) All interaction to be through the common GSTN portal- so less public interface between
the taxpayer and the tax administration

(vi) Will improve environment of compliance as all returns to be filed online, input credits
to be verified online, encouraging more paper trail of transactions;

(vii) Common procedures for registration of taxpayers, refund of taxes, uniform formats of
tax return, common tax base, common system of classification of goods and services
will lend greater certainty to taxation system;

(viii) Timeliness to be provided for important activities like obtaining registration, refunds, etc;
(ix) Electronic matching of input tax credits all-across India thus making the process more
transparent and accountable.

(C) Benefit to Consumers:

(i) Final price of goods is expected to be lower due to seamless flow of input tax credit
 between the manufacturer, retailer and service supplier;

(ii) It is expected that a relatively large segment of small retailers will be either exempted
from tax or will suffer very low tax rates under a compounding scheme- purchases from
such entities will cost less for the consumers;

(iii) Average tax burden on companies is likely to come down which is expected to reduce
prices and lower prices mean more consumption.

Perception About Study :

Meaning of Perception

Perception from the Latin word “Perceptio '' is the organization , identification , and
interpretation of sensory information in order to represent and understand the presented
information or the environment .

Based on previous studies , Perception can be made that individual with positive attitude
towards tax
, Commonly believed in equality and fairness in the tax system, tax administration and
compliance with the commission of the tax law.

Positive attitude towards customers regarding tax system is important to enable

individual have responsible towards development of country.

Many opinion arise because consumer are interested to know how GST will effect and
affect their interest with some agree and some refuse of GST. Some peoples believed
that GST would result in negative impact on their lives. This is proven by several studies
related to the implementation of GST.

GST SLAB and Structure of GST Rates:

 Finance Minister Arun Jaitley hints at 15% GST for most goods

t has been a year since the Goods and Services Tax (GST) regime came into effect and
the government is celebrating July 1 as GST Day. On the first such occasion, the
Finance Ministry is holding a special event to mark the event where several officials
from the ministry are expected to address the nation starting 11 am on Sunday. It is
worth mentioning here that the several wings of the government are organising events
to mark the special occasion as well.

It may be noted that notable minister such as Suresh Prabhu, Piyush Goyal,
Nitin Gadkari and Arun Jaitley have praised the new indirect tax regime on Twitter.
Prime Minister Narendra Modi also congratulated the nation on GST’s first

GST has impacted all the sectors of the Indian economy. Textile sector definitely
witnessed benefits from GST implementation as it is easier to track record of seller
and buyer with the help of GST number which is good for transparency, said Textile
Association of India President, Vilas Gharat. While the retail sector was hit hard by
GST initially, there were many loose ends that were tinkered with. Tax rates from
many retail products were rationalised post-implementation which created a little
confusion for retailers. After one year things seem fairly positive in the retail
sector. GST rate for both AC as non-AC restaurants was kept at 5 per cent. As tax
input credit was done away with and GST rate was fixed at 5 per cent and it was
a double whammy for restaurant and hotel owners. Because of this, some consumers
believe that the hotel increased the price on their menu.
Finance Minister Arun Jaitley | Photo Credit: BCCI.
New Delhi: It has been a year since the Goods and Services Tax (GST) regime came into
effect and the government is celebrating July 1 as GST Day. On the first such occasion, the
Finance Ministry is holding a special event to mark the event where several officials from
the ministry are expected to address the nation starting 11 am on Sunday. It is worth
mentioning here that the several wings of the government are organizing events to mark
the special occasion as well.

It may be noted that notable ministers such as Suresh Prabhu, Piyush Goyal,
Nitin Gadkari and Arun Jaitley have praised the new indirect tax regime on Twitter. Prime
Minister Narendra Modi also congratulated the nation on GST’s first anniversary:
GST has impacted all the sectors of the Indian economy. Textile sector witnessed benefits
from GST implementation as it is easier to track record of seller and buyer with the help of
GST number, which is good for transparency, said Textile Association of India President,
Vilas Gharat. While the retail sector was hit hard by GST initially, there were many loose
ends that were tinkered with. Tax rates from many retail products were rationalized post-
implementation which created a little confusion for retailers. After one-year things seem
positive in the retail sector. The GST rate for both AC as non-AC restaurants was kept at 5
per cent. As tax input credit was done away with and GST rate was fixed at 5 per cent and
it was a double whammy for restaurant and hotel owners. Because of this, some consumers
believe that the hotel increased the prices on their menu.

One year of GST: Here’s how it has impacted different sectors

Meanwhile, Union Minister Piyush Goyal also suggested GST rate cuts would be
possible if consumers demand bill on every purchase. He urged the public to demand
bills as it helps the government to boost GST's overall revenue collections which
would help in slashing rates under the regime in future. The minister also spoke at
length on how GST has helped in boosting the Indian economy.
One year of GST: GST rates cut possible if consumers demand a bill on every
buy: Piyush Goyal

While the success of GST has been phenomenal, there are still challenges. Some
experts on tax and prominent economists feel that it has started off on a positive note
but added that there is a long way to go and it is a work in progress. From tax rate
rationalization to fixing tech glitches in the GSTN system, there are several issues the
government has to address to make it an ideal indirect taxation system. Having said
that, here is an interesting story on why GST in India is still a work in progress.

Congress leader Ashok Gehlot hits out at the government. He said, "UPA had left the
#economy in a very good shape but it has been ruined by MMD - Modi made
Disaster." It may be noted that several other Congress leaders have criticised the
government for implementing the tax reform in such a haste. Not just Gehlot, but P
Chidambaram had also hit out at the government in a press conference held today.
Finance Minister Arun Jaitley addresses event through video conferencing. He started
off his speech by congratulating the core members who made GST a success, and even
the Prime Minister for strongly backing the reform. He spoke about many challenges in
implementing GST but added that the past governments failed to implement it due to lack
of cooperation with the state authorities. He said that the implementation of GST is a
monumental affair in the history of India as it helped in the eradication of a horde of
cascading taxes. Calling GST the best example of federalism, he went on to add that there
are steps being taken to include other products under the ambit of GST as well. He said,
"GST is the best example of federalism."

: Jitendra Singh, MoS PMO also commented on the first anniversary of the GST. He
said, "The historic decision by Modi govt had been pending for decades. Notwithstanding
with what opposition says we go by evidence. Figures speak for themselves. It has
produced a behavioural change in common man, to be a taxpayer instead of a tax evader.
His points are back by data which show that GST has helped in adding over 50 per cent
new taxpayers under the indirect tax regime.
Union Minister Piyush Goyal kicks off his address on GST Day. Before sharing his
thoughts on GST, the minister took time to wish Finance Minister Arun Jaitley a speedy
recovery. It may be noted that Goyal is currently filling in for Jaitley as interim Finance
Minister. Speaking on the special occasion, Goyal said, "I still remember when GST was
rolled out last year. Some people criticized it then also but they did not see the long-time
positive impact of GST on the Indian Economy. I would like to thanks all the politicians
and political parties and Chief Minister of All states for their support in the
implementation of GST nationwide which has strengthened the Federal structure of the
country." "When such a huge transformation happens in the country, I believe it is cause
for celebration. We should congratulate each other for the huge achievement," he added.
Check out his exclusive interview with ET NOW on One year of GST.
Sharing an analogy, the minister said, "The way Babasaheb Ambedkar united the country
with a constitution and the way Sardar Vallabhai Patel united the country geographically,
I believe GST has united the nation on the economic front."
"When GST was introduced, I had the opportunity to travel to different states and interact
with traders and it made me realize that the young generation adopted GST quickly as
they do not want complicated tax regime and want to run their business responsible in an
honest manner," he added.

The Interim FM also made several other key points about the small-scale industry, for
which the government is planning to further ease norms. Saying that GST is a step
towards uniforming the economy, he said the MSMEs will be a focal point, going
forward in the GST reform.

Soon after the Congress press conference, Prime Minister Narendra Modi shared an
interview of his, where he has slammed critics of the 'One Nation, One Tax' system.
He asked critics, calling for slimmer rates, whether milk and Mercedes can be
bracketed in a single tax rate? In the interview, he gave the rationale for having
multiple tax slabs. He suggested that it would have been simple to just have one slab
but highlighted that it would not have made it possible to have food items in the 0 per
cent tax slab. "Can we have milk and Mercedes at the same price?" he asked. He
lashed out at the Congress as well. He told the magazine that the Congress' demand on
having one single tax is absurd. Read: Decoded: Why India’s GST has multiple tax
slabs?

Congress questions GST and says GST increased tax burden. Holding a conference on
GST Day, Congress politician and former finance minister P Chidambaram lashed out
at the government over the implementation of GST. Hitting out at the government, he
said that GST was imposed on an unprepared nation. Since the implementation, there
have been several reports of GST tech glitches that affected business. However, the
government suggested that the initial storm has been weathered and it is time for
further rationalization in the iconic reform. Starting with the GST Constitution
Amendment Bill, every step taken by the BJP govt regarding GST was deeply flawed.
The GST bills ignored the advice of the Chief Economic Adviser on many aspects of
GST, notably on the rates," Chidambaram asked.

Former Finance Minister P Chidambaram mocks PM’s ‘milk, Mercedes’ analogy,

says, ‘GST means one tax rate only, if multiple rates, call it ‘RSS tax’ #GSTFaceoff

Central Board of Indirect taxes and Customs Chairman (CBIC), S. Ramesh said, "The
journey of GST has been characterized by an incessant and spirited endeavors to
address several issues that have arisen in the last 1 year. The focus of the tax
administration and GSTN is on the taxpayer to facilitate them and address their
grievances in the shortest possible time.
Union Minister Piyush Goyal on Sunday inaugurated the first ever GST Day celebration
in New Delhi by lighting a ceremonial lamp. It may be noted that the government has
lauded GST as an iconic tax reform, which will benefit Indian economy immensely in
the long run.

Several Ministers tweeted about the event in the morning, including Arun Jaitley,
Piyush Goyal, Nitin Gadkari and even Prime Minister Narendra Modi. Various wings
of the finance minister also tweeted to celebrate the historic day. Many industry bodies
such as ASSOCHAM and FICCI also commented on the first anniversary of the
landmark tax reform, suggesting that it has helped immensely in formulating the tax
structure. Lauding the event, the industry bodies suggested that it is a major,
transformational tax reform.

Modi also tweeted in the morning, congratulating the entire nation on

the completion of GST’s one year anniversary. He tweeted, “I congratulate the people
of India on the special occasion of GST completing 1 year. A vibrant example of
cooperative federalism and a ‘Team India’ spirit, GST has brought a positive change in
the Indian economy.”
Chapter 3

Research Methodology
 Research Methodology

Introduction of Research Methodology:

Research is a logical and systematic search for new and useful information on a

particular topic. Research methodology is a systematic way to solve a problem. It is a

science of studying how research is to be carried out. Essentially, the procedures by

which researchers go about their work of describing, explaining and predicting

phenomenon are called research methodology.

About my Research Problem:

The present research is exploratory in nature. Since GST is a new phenomenon in India,
there are hardly any studies in this area. Specially there is a huge gap of empirical and
behavior studies on GST in India. The study tries to find the significance of popular
perception regarding GST.

Problem Statement:
The title of Project Report A Study on Customers Perception towards Goods and
Service
Tax in Uttarakhand, District.

Manufacturer to wholesaler taxing on total bill for the product sold Ÿ Wholesaler to
distributor taxing on total bill for the product sold Ÿ Distributor to Retailer taxing on
total bill for the product sold Ÿ Retailer to Consumer itemized / total bill taxing for the
product bought
Need of Study:
The Need of study must fill the gap identified in previous researchers. Under this study
We know that how much level of understanding the GST and Perception towards GST
as well as traders, taxpayers concerned by GST.

Scope of the Study:

This study is conducted to find out the views of consumers in Hamirpur District and to
know about their expenditure pattern and the variation. The respondents selected are of
a mixed group which will give a wider difference in understanding. The scope of the
study is limited only to the area concerned, which cannot be justified elsewhere.

Objectives of Study:

 Analysis of customers' perception regarding Goods and Service Tax (GST).

 To Assess Customers, view regarding the importance of GST in District.

 To find out the perception and their views on the newly implemented taxation
system.

Research Design:
A good research design has characteristics viz, problem definition , time required for
research project and estimate of expenses to be incurred the function of research design
is to ensure that the required data are collected and they are collected accurately and
economically. A research design is purely and simply the framework for a study that
guide the collection and analysis data. In this project the two basic types of research
design are used :

Exploratory Research:
All research projects must start with exploratory research . This is a preliminary phase
and is absolutely essential in order to obtain a proper definition of problem in hand. The
major emphasis on the discovery if ideas and insights . The exploratory study is
particularly helpful in breaking broad and vague problems in to smaller, more precise
sub problem statements . Exploratory research is also used to increase the familiarity
with the problem under investigation.

Descriptive Research:
It is the design that one simply describe something such as demographic characteristics
of people . The descriptive study is typically concerned with determining frequency
with which something occurs or how two variables vary together. A descriptive study
requires a clear specification of who, what, when and why apex of the research . It
requires formulation of more specific hypothesis and the testing of these through
statically inference technique.

This is the research design of the study and then it comes to develop the research plan,
which means

what to do before going for the actual interpretation and it is discussed below.

Developing a Research Plan:

The present research is exploratory in nature. Since GST is a new phenomenon in India,
there are hardly any studies in this area. Specially there is a huge gap of empirical and
behavior studies on GST in India. The study tries to find the significance of popular
perception regarding GST.

The data for this research project has been collected through self-Administration. Due
to time limitation and other constraints direct personal interview study method is used.
A structured questionnaire was formed as it consumes less time duration and is
important from the information's point of view, easier to tabulate and interpret. More
ever respondents prefer to give direct answers.
Development of research plan has the following steps:
 Sample Design
 Sample Unit
 Sample Size
 Sample Technique.

Population: - Population means the whole universe of study in which the researcher
does his study / research and the population for my research is people of District town
from rural and urban areas in Uttarakhand.

Universe of Study: - For the present study purpose about the Perception of newly
implemented system of Goods and Service Tax.

Sample Design:
The complete study of all items in the population is known as a census inquiry. A sample
is a group of few items, which represents the population or universe from where it is
taken.

The Process of Selecting sample have been Multi Stratified in Nature. At the first Stage,
2 blocks of region/area were selected with convenient sampling. At the 2nd Stage 25
respondents have been selected from these blocks with the help of Simple Random
Sampling. The size of the sample is 50 respondents.

Sampling Size:

The sample size of the study was 50. The responses were captured from respondents on
a 5-point Likert scale. The area of study was Region.

Sampling Method:
The sampling method was Judgment Sampling (only those respondents were chosen
who had some knowledge about GST).

Data Collection:
Data collection is the process to gather information about the relevant topic research,
which is be Data Collection usually takes place early in an improvement project, and is
often formalized through data collection plan which often contains the following
activity:

 Pre collection activity on goals, target data, definitions and methods.

 Collection of Data.
 Presenting findings involving some form of sorting analysis.
For accomplishing the objective of study, both Primary and Secondary data have been
used. Data Collection through Primary Data and Secondary Data Sources.

Classification of Data:
The correct information is the key to success. Data information is of two types; Primary
Data and Secondary Data. Primary data is information collected by researcher or person
himself where is secondary data is collected by other but utilized or used by researcher.
Data can be classified under two categories depending upon the source utilized. These
categories are:

 PRIMARY DATA

 SECONDARY DATA
1. Primary Data: The study is largely based on the primary data collected through
the structured Questionnaire Method.

 Using Primary Data Collection Tool:

Questionnaire:
The data has been collected by administering a structured schedule of questions. The
questions are generally framed by a 5-point Likert Scale and answers by respondents in
the form of Agree, Disagree, Neutral, Strongly Agree and Strongly disagree.
The Questionnaire have been prepared for study the customer perception towards the
Goods and Service Tax in Uttarakhand, Distt.

For the present study purpose, the questionnaire method is used to collect the primary
data. This questionnaire is a self–administrated questionnaire, and it is divided into two
sections – Section A and Section B.

a. Section A consists of questions regarding Personal Information. For E.g. Name,

Age, Gender, Qualification, Martial Status, Occupation.
b. Section B Consist of the questions which fulfill the research objectives, and it
contains 20 Questions.

2. Secondary Data:
This type of data has already been collected by someone else and has already passed
through statistical process. This type of data has been collected from the following
resources:

 Sources of Collection of Secondary Data

 Internet
 Books
 Journal
 Thesis.
 News Papers
 Govt Gazettes.
 Magazines etc.
For this study Primary Data and Secondary data both have been used for research topics.

RESEARCH INSTRUMENTS:
 QUESTIONNAIRE: A questionnaire is a research instrument consisting of a series
 of questions and other prompts to gather information from respondents. Although
they are often designed for Statistical Analysis of the responses.

RESEARCH PLAN:
Data Source Primary Data
Research Approach Survey
Research Instrument Questionnaire
Method of Contact Personal
Sample Size 50 Respondents

Tools of Analysis:
 Mathematical Tools:
 Percentage Method.
 Statistical Tools:
 Arithmetic Mean

1. Mathematical Tools:
In the present research work, mathematical tools are used. In this method are including
the percentage and simple average has been used to analysis and interpretation or
collection of data.
A Percentage frequency distribution is a display of data that specifies the percentage of
observations that exist for each data point. It is a particularly useful method of expressing
the relative frequency of survey responses and other data. The mathematical method is
using followings tools are given as below:
 Percentage Method:
It was used to draw specific inferences from the collected data that fulfilled the study's
objective.
The formula used was:
P = Q/ R * 100
P = Reading in Percentage
Q = Number of respondents falling in specific Category to be measured
R = Total Number of respondents or it is the population.
 2. Statistical Tools:
Statistics is an imposing form of mathematics. It is the aggregate of facts affected to a
marked extent by multiplicity of causes, numerically. expressed, enumerated or estimated
accordingly to a reasonable standard of accuracy, collected in systematic manner for a
predetermined purpose and place in relation to each other. The followings tools are used
in this method are given briefly below as:

 Arithmetic Mean:
This tool has been used to find out the average of the opinion of the respective. It is most
widely used method of average and can be found out by applying the following formula:

X = W*W
Where,
Xw = Weighted Arithmetic Mean
X = Variable Values
W = Weighted Attached to Variable Values.

Limitations of study:
This study too has its limitations that limit the applicability and validity of the study. The
limitations are below-
i) The sample size was small and cannot be applied to the entire population.
ii) GST is a newly launched tax system so some complications are faced by the peo
 Chapter 4

Data Analysis& Interpretation

ATA ANALYSIS & INTERPRETATION

Data Analysis
The data collected various respondents have to analysis for the drawing conclusion . So
in this chapter efforts have been made to analysis and interpret the collective data
towards perception of customers of Dist ( UK) on “ Goods ans Service Tax '' through
questionnaire.

First of all the collected data have been presented in tabular form and there after it is
analyzed with the help of percentage and Pie Charts .

A brief description of analysis and interpretation given below :

In Table No. 4.1 An attempt has been made of classify the respondents on the basis of
Age factor
.

Table No. 4.1

Classification of respondents on the basis of Age

Sr. No. Age Group No. of Respondents Percentage (%)
1 Below 25 5 10
2 25- 40 16 32
3 Above 40 29 58
Total 50 100
Source : Data Collected from Primary Data through Questionnaire Method.

Classification of respondents on the basis of Age

10%

+
Below 25 25- 40
32% 51
58% Above 40

Figure 4.1
Interpretation:

From the above table and figure it is clear that majority of respondents that is 58% are
above 40 years Where as 32 % belongs to 25 – 40 years are and rest of 10 % are below
25 years. Thus it can be concluded that there are majority of the respondents are above
40 years.
In Table 4.2 An attempt has been made of classify the respondents on the basis of
qualification factor. The qualification have been divided in to Three Categories –
Graduation , Post Graduation and Any other qualification . The description of this as
below :

Table No. 4.2

Classification of respondents on the basis of Qualification

Sr no. Qualification No. of Percentage (%)
Respondents
1 Graduation 19 38.00%
2 Post Graduation 11 22
3 Any others Metric, 20 40
Secondary and PHD also )
Total 50 100
Sources : Data Collected from Primary Data through Questionnaire Method .

Classification of respondents on the basis of Educational Background

40% 38%
Graduation
Post
Graduation
Any other

22%

Figure 4.2

Interpretation :

From the above table and figure it is depicted that majority of respondents ie 40% are
related to high and low background that means other areas, where as 38% are
Graduation and 22 % are Post Graduate. Thus it can be concluded that majority of the
respondents are Concerned Graduation and other Qualifications.

52
In Table 4.3 An attempt has been made of classify the respondents on the basis of
Married and Un Married Status .

Table 4.3

Classification of respondents on the basis of Status

Sr No. Status No. of Respondents Percentage (%)
1 Married 43 86.00%
2 Un Married 7 14.00%
Total 50 100.00%
Source : Data collected from Primary Data through Questionnaire Method

Classification Of Respondents on the basis of Status

Fig.4.3

Interpretation :

From the above table and figure it is clear that majority of respondents are Married i.e.
86 % and rest of the 14% are Un married. Therefore , According to this observation
maximum respondents are married.
53
Table 4.4 Classify the respondents on the basis of Gender . The Gender are Male and
Female .The description of this as below :

Table No. 4.4

Classification of respondents on the basis of Gender

Sr No. Gende No. of Percentage (%)
r Respondents
1 Male 45 90.00%
2 Female 5 10.00%
Total 50 100.00%
Sources : Data collected from Primary Sources through Questionnaire

Method Classification of Respondents on the Basis of

Gender
 Fig 4.4

Interpretation :

From the above table and figures it is show that majority of respondents are Males 90%
and Females are 10% . Thus it can be concluded Males are show in high Interest in
business activities.
Table No. 4.5 An attempt has been made of classify the respondents on the basis of
their Occupation or Category Basis . The description of this as below :

Table 4.5

Classification of respondents on the basis of Occupation

Sr No. Occupation No. of Percentage (%)
Respondents
1 Business Mans 30 60.00%
2 Service Mans 8 16.00%
3 Professionals 5 10.00%
4 Any Customers 7 14.00%
Total 50 100.00%
Sources : Data collection from Primary Sources through the Questionnaire

Methods Classification of Respondents on the Basis of Occupation

Figure 4.5

Interpretation :

From the above table and figure it is depicted that maximum respondents are
businessman and as well as customers are 60 and 14 % respectively. Where as Service
man and Professionals are 16 and
10 % Respectively. That it can be concluded that majority of the respondents are doing

own Business
In Table No. 4.6 An attempt has been made of classify the respondents perception
towards the Goods and Service Tax . The Perception level of the respondents has been
divided in to Five categories – Strongly Agree, Agree, Neutral , Dis Agree, Strongly Dis
Agree. The description of this as below

Table No.4.6

Classification of respondents on the basis of their perception regarding “GST is a very

Good Tax reforms for india '' :
Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 28 56
2 Agree 15 30
3 Neutral 6 12
4 Dis Agree 1 2
5 Strongly Dis Agree - -
Total 50 100
Source Data collected from primary sources through questionnaire method

Figure 4.6

Interpretation :

Above chart depicted that majority of the respondents satisfied with the statement this
taxation reform in india is very good 56% respondents are strongly agree with this
statement and 30% are agree and also 12 % are neutral . Hence it is concluded that
majority of the respondents i.e. 56 % are strongly agreed and 30% agreed with this
statements. 56
Table No. 4.7 An attempt has been made of classify the respondents on the basis of their
response regarding the statement “ GST has increased the various legal formalities . ''
The response are divided into five categories – Strongly Agree, Agree, Neutral , Dis
agree and Strongly Dis agreed . The description of this as below :

Table No. 4.7

Classification of respondents on the basis of their perception regarding the GST

implementation.
Sr No. Response No. of Percentage(%)
Respondents
1 Strongly Agree 21 42
2 Agree 21 42
3 Neutral 7 14
4 Dis Agree 1 2
5 Strongly Disagree 0 0
Total 50 100
Sources Data collected from primary sources through questionnaire method.

Figure 4.7

Interpretation :

Above Chart depicted that majority of the respondents satisfied with the statement after
implementation of GST has increased various types of formalities . 42% respondents
are strongly agree and also 42 % are Agreed and 14% are also neutral .So it is concluded
that majority of the respondents satisfied this statement. 57
Table No. 4.8 An attempt has been made classify the respondents on the basis of their
response regarding statement “ GST has increased the Tax burden on Common Man''

Table No. 4.8

Classification of respondents on the basis of response of the respondents regarding the

statement GST has increased tax burden on common man.
Sr No. Response No. of Percentage(%)
Respondents
1 Strongly Agree 8 16
2 Agree 16 32
3 Neutral 15 30
4 Dis Agree 11 22
5 Strongly Dis agree 0 0
Total 50 100
Sources Data collected by Primary sources through the questionnaire method .

Figure No. 4.8

Interpretation :

According to above table , it is shows that majority of the respondents i.e. 32% are agree
with this statement and 30% are neutral and also 22% are Dis Agree for this statement .
16% are strongly Agreed. So it is concluded that majority and cum majority peoples are
said that GST has increased the burden of Common man.

58
Table No. 4.9 An attempt has been made of classify the respondents on the basis of
their response towards for India is really ready for GST implementation .

Table No. 4.9

Classification of respondents on the basis of response of respondents regarding India

is really ready for GST implementation
Sr No. Response No. of Percentage(%)
Respondents
1 Strongly Agree 7 14
2 Agree 19 38
3 Neutral 14 28
4 Dis agree 8 16
5 Strongly Dis agree 2 4
Total 50 100
Sources Data collected from Primary sources through questionnaire method .

Figure No. 4.9

Interpretation :

From the above table and figures it is concluded that 38% respondents are agree and
14% are strongly agreed to India is ready for GST implementation and 28% also neutral
to this statement but even 16 and 4 % are Dis agreed also . So it is fair conclusion are
majority of the respondents are say India is ready GST implementation. Hence , results
are Positive perception. 59
In Table No. 4.10 An attempt has been made of classify the respondents on the basis of
their statement GST has increased the Tax burden on Businessman. The results are
represents on Five Categories are given Below :

Table No. 4.10

Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 12 24
2 Agree 19 38
3 Neutral 13 26
4 Dis agree 6 12
5 Strongly Dis agree 0 0
Total 50 100
Sources Data collected from Primary Sources through questionnaire method .

Figure 4.10

Interpretation :

From the above data table and figure show that maximum respondents are represents
that GST has increased the tax burden on businessman so 38% respondents are Agree
and 24% are strongly agree this statement and also 26 % are neutral but even 12% are
Dis Agreed for this statement. Hence , it is concluded that maximum results are positive
nature for this statement .

60
In Table No. 4.11 An attempt has been made of classify the respondents on the basis of
their response regarding the statement Govt. has imposed GST on people without any
preparation . The given data are classified following categories are given below :

Table No. 4.11

Sr. Response No. of Percentage (%)
No. Respondents
1 Strongly Agree 6 12
2 Agree 12 24
3 Neutral 22 44
4 Dis Agree 8 16
5 Strongly Dis Agree 2 4
Total 50 100
Sources Data collected from Primary sources through questionnaire method .

Figure No. 4.11

Interpretation :

According to above table , it is shows that majority of respondents are not high satisfied
but maximum respondents are neutral or not sure i.e. 44% and remaining are 24% only
Agreed and 12 % are dis agreed so it is concluded that peoples perception regarding this
statement may be positive and some negative . But above results are some Positive .

61
 In Table No. 4.12 An attempt has been made of classify the respondents on the basis
of their response regarding the statement GST is very difficult to understand . The data
are given following Statement are as below :

Table No. 4.12

Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 6 12
2 Agree 18 36
3 Neutral 15 30
4 Dis agree 10 20
5 Strongly Dis agree 1 2
50 100
Sources Data collected by Primary Sources through questionnaire method .

Figure No.4.12

Interpretation :

Above table and figure depict that majority of the respondents i.e. 36% are Agree and
30 % are neutral and also !2% are strongly agree with this statement are GST is very
difficult to understand . Another 20 and 2% are dis agreed with this statement . Hence ,
it is concluded that maximum respondents are Agree and neutral stage so result are may
be positive . Then it show that in initial stage is very difficult to understand GST. 62
In Table No. 4.13 An attempt has been made of classify the respondents on the basis of
their perception regarding this statement are GST will increase the inflation ( prices) in
the country . The following statement data are given below as :

Table No. 4.13

Sr No. Response No. of Percentage(%)
Respondents
1 Strongly Agree 9 18
2 Agree 6 12
3 Neutral 17 34
4 Dis agree 14 28
5 Strongly Dis agreed 4 8
Total 50 100
 Sources Data collected from Primary sources through questionnaire method .

Figure No. 4.13

Interpretation :

From the above table and figure represents that maximum respondents are not sure the
inflation affect of economy or country on GST . Only 18% and 12% peoples are strongly
Agree this statement rest of 34% are neutral and 28 or 8% are Dis Agree this
statement.are GST will increase the inflation of country . So finally it is concluded that
The results of this statement is may or may not be Positive ,but maximum response are
Neutral . 63
In Table No. 4.14 An attempt has been made of classify the respondents on the basis of
their response regarding the statement GST is beneficial in Long Term . The description
of following data are given below as :

Table No. 4.14

Classification of respondents on the basis of their opinion regarding the GST beneficial
in Long Term.
Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 8 16
2 Agree 25 50
3 Neutral 14 28
4 Dis Agree 3 6
5 Strongly Dis agree 0 0
Total 50 100
Sources : Data collected from Primary sources by questionnaire method.

Figure No.4.14

Interpretation :

From the above figure and table it is concluded that 50% respondents responds GST is
beneficial in Long Term. More than 50 and 16% are agree and Strongly agree with this
statement and 28% are neutral . So Hence, majority of the respondents are provide
positive results in this statement. 64
In Table No. 4.15 An attempt has been made of classify the respondents on the basis of
their response regarding this statement GST will increase the Tax Collection of
Government . The following information are collected from this statement are given
below :

Table No. 4.15

Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 22 44
2 Agree 17 34
3 Neutral 8 16
4 Dis agree 3 6
5 Strongly Dis agree 0 0
50 100
Sources Data Collected from primary sources by questionnaire method .

Figure No. 4.15

Interpretation :

According to above table , it is shows that majority of the respondents i.e. 44 % are
strongly Agree and 34% are Agreed with this statement are GST will increase the Tax
collection of GOVT. and 16% are neutral or 6% are Disagreed also . Hence it is
concluded that majority of the respondents are more than over all 78% are agreed and
results are so positive statement.

65
In Table No. 4.16 An attempt has been made of classify the respondents on the basis of
their perception regarding this statement GST is affecting small business very badly .
The following responses are given below as :

Table No. 4.16

Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 9 18
2 Agree 10 20
3 Neutral 25 50
4 Dis agree 6 12
5 Strongly Dis agree 0 0
Total 50 100
Sources Data collected from Primary Sources through questionnaire method.

Figure No. 4.16

Interpretation :

According to above table , it shows that majority of the respondents are i.e. 50% are
neutral and 20% are agreed and also 18% are strongly agree for this statement GST
affecting small business very badly . This data represents the GST has normal affect of
Small business firms and it affect the medium business is more than smalls. So it is
concluded that majority of the respondents i.e. 50% are neutral this Statement and results
are may be positive nature .

66
In Table No. 4.17 An attempt has been made of classify the respondents on the basis of
their perception regarding statement are GST is impacts Customer Purchasing Power in
Effectively . The description are given as below :

Table No. 4.17

Classification of respondents response on the basis of their perception regarding GST is

impact Customer Purchasing Power Effectively.
Sr No. Response No. of Percentage(%)
Respondents
1 Strongly Agree 8 16
2 Agree 12 24
3 Neutral 11 22
4 Dis Agree 19 38
5 Strongly Dis Agree 0 0
Total 50 100
Sources Data collected from Primary Sources by questionnaire method .

Figure No. 4.17

Interpretation :

From the Above data depicted that majority of the respondents are not agree for this
statement Majority of the respondents i.e. 38% are Dis agreed . And 22% are Neutral
for this statement .But Also Further 24% respondents are Agree for this statement, So
maximum result are against this statement . And may be 24% are agree to GST impact
the customer purchasing power . Hence , results are some may be Negative or Positive
. 67
In Table No. 4.18 An Attempt has been made of classify the respondents on the basis
of their perception regarding statement are GST affects the Indian capital stock market
operations . The following description for these statement are show as below :

Table No. 4.18

Classification of respondents on the basis of their perception regarding the GST are
ffects the Indian Capital Stock Market Operations :
Sr. Response No. of Percentage (%)
No. Respondents
1 Strongly Agree 3 6
2 Agree 4 8
3 Neutral 13 26
4 Dis agree 25 50
5 Strongly Dis agree 5 10
Total 50 100
Sources Data collected from Primary Sources through questionnaire method .

Figure No. 4.18

Interpretation :

From the above table , it shows that majority of the respondents ie. 50% are Dis agree
with the statement are GST affects the Indian capital stock market operations and 26%
respondents are neutral for this statement. So, after all 6 and 8% are strongly agree also.
Hence it is concluded that majority of the respondents more than 50% are Dis Agreed
and results are this statement are pure negative . And some little bit ie. 26% are positive
but perception of respondents regarding this statement are negative this statement . 68
In Table No. 4.19 An attempt has been made of classify the respondents on the basis of
their response regarding the statement .GST will cause an increase in the cost of living .
The following statement description given as below :

Table No. 4.19

Classification of respondents on the basis of response of the respondents regather

statement GST will cause an increase in the cost of living .
Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 7 14
2 Agree 10 20
3 Neutral 17 34
4 Dis Agree 14 28
5 Strongly Dis Agree 2 4
Total 50 100
Sources Data collected from primary sources through the questionnaire method.

Figure No. 4.19

Interpretation :----

According to above table , it is shows that majority of the respondents are Neutral i.e.
34% and 28% are Dis Agreed from the statement of GST will cause an Increase in the
cost of living . Results are not bad because respondents are neutral and some 14 and
20% are agreed also this statement . So it is concluded that maximum result are
satisfactory for this statement . Further respondents are think little bit changes are their
affected cost of living GST positively. 69
In Table No. 4.20 An attempt has been made of classify the respondents on the basis of
their response regarding the statement GST is a Good method to replace the sales and
services tax. The description of this as below :

Table No. 4.20

Sr No. Response No. of Percentage (%)
Respondents
1 Strongly Agree 13 26
2 Agree 14 28
3 Neutral 12 24
4 Disagree 9 18
5 Strongly Disagree 2 4
Total 50 100
Sources : Data collected from primary sources through questionnaire method .

Figure No. 4.20

Interpretation :

Above Chart depicted that majority of the respondents satisfied with the statement of
GST is a good method to replace the sales and service tax . 26% respondents are strongly
agree and 28% are agreed with this statement . Further 24% are neutral and some
respondents are Dis agree i.e. 18% are this statement . Hence , it is concluded that
majority of the respondents are show positive perception of this statement . And
maximum results are in favour of this statement.

70
 Chapter 5

Summary

Findings

Suggestion

Conclusion

References
 Chapter 5

SUMMARY , FINDINGS & CONCLUSION

Summary of the study :

This project report helped me to get deeply understanding the “ Customers Perception
towards the Goods and Service Tax ( GST) of Dist t at Uttarakhand .''

The main focus of this study was to asses the perception of customers regarding the
Goods and Service tax in Area Uttarakhand . The study is structured of five chapters
namely , introduction , literature review, research methodology , Data analysis and
interpretation and last one is summary and conclusion .

First chapter are covers the introduction of the taxation system , background of GST in
outside of India and with in India . Concept of GST , Types of GST , Structure of GST
, Impact of GST in different Sectors and How To file the GST return , GST slab and
Benefits of GST.

The Second Chapter i.e. Literature Review it includes more than 20 Studies of different
researchers are analysis carefully .

In the Third Chapter i.e. research methodology highlights the problem statement , scope
of study , need of study, objective of study , research design , universe of study ,
sampling design , sample technique and sample size and data collection methods and
limitations of study.

The fourth chapter , i.e. Data analysis and interpretation, efforts have been made to
analysis the data with the help of mathematical tools are used percentage method . Data
are show in Tables form which includes response of respondents , total number of
respondents and percentage share of respondents towards the various statements
.Interpretation results are shown in Positive and Negative form
 77
indings Of The Study :

After Analysis and Interpretation of the data these are followings findings were emerged :

Most of the respondents are Male .

Majority of the respondents i.e. 58 % comes under the age group above 40 years
and 32%^ are comes under 25- 40 years .

More than 60% respondents are related to Businessman category.

The most of respondents perception are very positive towards the GST and they
are aware of GST through the mass media .

56 % respondents are that opinion GST is very good tax reform for India and it
is the turning point of the taxation system .

Most of the customers perception that GST is very beneficial in Long Term for
economy of the country and also effect of GDP.

Maximum 50% respondents are respond GST has increased the various Legal
formalities.

Majority of the peoples have perception that they still need more clarity on GST
and opened that they discuss about GST with others .

Most of the customers opinion that GST is fair tax . And also GST is
predominantly compliance tax.
Suggestions

✔ The customers suggested that there should be a smooth , transparent and simple
transition provisions which is easily understandable.

✔ Special focus on awareness and training of all officers , professionals and assesses
should be given on GST.

✔ Since the public are very clear about GST , any disputes on GST introduction should
be protectively addressed by way of speedy redress .

✔ The people are not well informed on the implementation of the GST. Therefore , in
order to ensure efficient implementation of the GST, the government should come out
with a proper guideline to the society on the procedures for the implementations of GST.

✔ Gradual stages may be employed for the implementation like the agricultural sector,
then industrial and then the service sector.

✔ The relevant authorities especially the customers department must work closely with
other departments like information , Inland Revenue and other enforcement authority
ensure good implementation .

✔ Lastly, the government must ensure a good management of the income collected
from the GST.
CONCLUSION:

This study highlighted the overall overview of GST in Area of UK. The Government
to put in more effort to ensure that Consumers have a clear understanding and develop
a positive perception towards GST , leading to its acceptance . Good understanding
among customers is important as it can generate a positive perception towards the
taxation policy . The Uttarakhand Custom Department could initiate and promote an
extensive publicity program mes which could help to create awareness and generate
positive perception among customers in understanding the rationale and importance of
GST in India. 79
 REFERENCES

1. HTTP ://Wittgenstein

2. www.gstindia.com

3. comtax.up.nic.in

4. https://en.wikipedia.org

5. www.gstn.org

6. www.cbec.gov.in

7. www.financialexpresss.com

8. www.gstcounsil.gov.in

9. Sharma Publication , Topic … “ Concept of Tax , Structure of Tax, Indian

Taxation System '' Indirect Tax Text Book B com Ivth Semester First Edition 2014.

10. Kothari C.R. 2nd Edition (2004) Research Methodology … Topic “ Concept &
Meaning Of Research , Sampling , Methods and Techniques Of Data collection and
Tools '' B com , BBA and MBA and M.com Textbook.

11. Pinki , Supriya Kamna, Richa verma “ Goods and Service Tax”--Panacea For
Indirect Tax System in india ,” Tactful Management Research Journal”, Vol12, issue 10
July 2014

12. Agogo Mawulli “ Goods and Service Tax --- An appraisal Paper presented at the
PNG Taxation Research and Review Symposium. Holiday inn port meoresby, Pg No.29-
30 , April 2014

13. Kumar Nitin (2014) “ GST in india : A way forward '' Global Journal of Multi
disciplinary Studies, Vol 3 Issue 6 , May 2014.
14. Gupta Nishita , Goods and Service Tax : Its implementations on Indian economy
volume 5 Issue 3 (year 2014 – Pg No. 126—133 .

15. Fabian and Erik Hoelzl , Price , Perception and confirmation bias in the context
of a VAT increase, Journal of Economic Psychology 32 (1) volume 2 Pg No. 131-- 141
in 20
 QUESTIONNAIRE

Name : E -mail Id

Contact No.

SECTION A

Please ' Tick ' your choice -----

1. Gender (a) Male (b) Female

2. Status (a) Married ( b) Un Married

3. Age Group :

(a) Below

25 ( b) 25 –

40

(c) Above 40

4. Occupation

(a) Businessman

(b) Servicema

(c)Professioal

( d) Any other

5. Qualification :

(a) Graduation
( b) Post Graduation

(c) Any other Qualification

 SECTION B

Kindly Tick your perception regarding the Goods and Service Tax .
Sr. Statemen Strongl Agree Neutra Dis Strongly
No. ts y l Agree Dis
Agree Agree
1 GST is a very good tax reforms
for India.

2 GST has increased the various

legal formalities.

3 GST has increased the tax burden

on common man.

4 India is really ready for

GST implementation.

5 GST has increased the tax burden

on businessman.

6 Govt has imposed GST on

people without any preparation.

7 GST is very difficult to

understand .
8 GST will increased the inflation
in the country.

9 GST is beneficial in Long Term.

10 GST will increase the Tax

collection of GOVT.

11 GST will affecting small business

very badly.

12 GST is impacts the

customer purchasing
power in effectively.
13 GST affects the Indian capital
stock market operations.
Sr. Statemen Strongl Agree Neutra Dis Strongly
No. ts y l Agree Dis
Agree Agree
14 GST will cause an increase in the
cost of living.

15 GST is a good method to replace

the sales and service tax.

16 The implementation of GST will

result in the products and services
to be more expensive.

17 The newly Implemented

GST confused the
customers.
18 The Goods and Service Tax
system is a way for the
government to collect revenue to
manage an economy.
19 The Sentences and wording in the
Goods and Service Tax guide is
lengthy and not user friendly.

20 Goods and Service Tax (GST)

encourage individuals to save part
of their Income.