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GST defined as any tax on supply of goods & Services other than on alcohol for human consumption. GST will be a game changer. GST is nothing new, it's equivalent to state government's Value AddedTax (VAT) but with a wider (Nation Wide) base. With GST the tax base expected to be comprehensive, as virtually all goods and services will be taxable, with minimal exemptions. GST is kind of sales tax which is charged at each stage of sale on the value added to goods.Tax / levy at each stage of production, sale or consumption will be set off against taxes paid in the previous stage. This discourages any sales and services offered without bill. This simple thing benefits Organised sector immensely over un-organised sectors. As of now, un-organised sectors thrives on cheaper cost (read, sourcing and selling without bill/tax).

Threshold limit, tax rate and state-level exclusions will be finalised by GST Council Registration threshold is expected to be around 10-20 lakhs (Gross Sales/Service Value)which is way lower than the current level for many sectors.

Tax rate expected to be around 18%. This will seriously hurt service sector which account for almost 50 per cent of the total consumption basket in the economy. So expect short term pain.

GST would replace most indirect taxes currently in place such as:

Central Taxes

Central Excise Duty [including additional excise duties, excise duty under the Medicinal and Toilet Preparations (Excise Duties) Act, 1955] Service tax Additional Customs Duty (CVD) Special Additional Duty of Customs (SAD) Central Sales Tax ( levied by the Centre and collected by the States)

What will happen to me?

Short term pain by way of higher cost, GST will have huge impact on almost all the aspects of the business operations right from pricing of products and services, sourcing strategies, accounting and compliance, inter-state trade and commerce impact will be based exclusions list and dual-control structure.

What will be Dearer?

Fee for Professional Services Restaurant bills, staying at hotels, air travel, Medicines Insurance Premium, Premium vehicles, Real-estate transaction cost Telephone Bills, cigarettes Advertisements jewellery would also be adversely impacted.

What may stay with State Governments?

List pruned to 90 from 300 items Un-processed goods Stamp Duties Health Care Education Important good(s) of the state

When GST getting Roll-out?

GST Council is the responsible body for administration. Central govt. will have one-third (1/3) vote and all states combined will have two-third (2/3) vote. Quorum for GST council is 50% of total members and for majority of Council decision 75% of the weighted votes of members present and voting. There are sharp differences among states on Tax rate, Threshold Limit, Exclusion List, compensation percentage and duration etc. There may an unrest by trade bodies, un-organised sectors. Central govt. wants it be enrolled by April 2017. Lot will depend on speed and demands of state govts. Needless to mention about political angle.

What is the Solution?

"Well planned is half done!" Most of us fail to understand that planning is a part of the work, not something extra, that hardly takes any time? Having a financial plan is the solution. Financial plan brings all aspects of financial life together. This helps you to achieve your financial goals and makes sense for the long-term and strengthens your confidence in the short-term. Professional Financial plan will deal with Your Cash flow, Assets & Liabilities, Goals & Needs, Risk Profile, Time to Goals, Investments, Tax efficiency, Insurance, Estate Planning, etc. Globally Certified Financial Planner (CFPCM) is known to do comprehensive financial planning.

What questions can a Financial Planner answer?

Collaborating with you in complete transparency and be your financial coach Just put the word he will be able to answer the following:

Where you are standing in your life financially. Identify your goals and priorities. How to go about it.