Alcohol and GST: Economic and legal causes behind discounts
The goods and service tax (GST) have streamlined taxation in India by changing several indirect taxes with integrated structure. However, the liquor lives outside the GST structure, tax is imposed under the government. This article examines the GST exemption for alcohol and economic and legal factors behind its implications for companies and consumers.
Why is there a discount with alcohol from GST?
Exclusion of alcohol from GST is mainly due to income ideas and constitutional provisions.
Here are the main reasons: