GST in India came into effect from 1 July 2017
More than a decade ago, India inched towards reforming its indirect taxation system by looking to implement a goods and services tax (GST), a tool and system to eliminate the cascading effects of the existing duties and taxes, and to enable a continuous chain of set-offs such that all burdens of cascading effects are reduced (First Discussion Paper, November 2009).
This principle was engrafted in the Statement of Objects and Reasons appended to the Constitution (One Hundred and First) Amendment Bill, 2016, with the words “simplify and harmonise the indirect tax regime in the country” and “due to seamless transfer of input tax credit….”