Goods and Services Tax will be positive for India’s rating as it will lead to higher GDP growth and increased tax revenues said Moody’s Investors Service.President of Moody Sovereign Risk Group, William Foster said, over the medium term, GST is likely to contribute to productivity gains and higher GDP growth by improving the ease of doing business, unifying the national market and enhancing India’s attractiveness as a foreign investment destination.Moody’s Vice-President said, the GST will also support higher govt revenue generation through improved tax compliance and administration. He said, both will be positive for India’s credit profile, which is constrained by a relatively low revenue base.
More in Uncategorized