A study has indicated that the industry is expected to contribute USD 280 billion to India's GDP in eight to nine years due to a positive fallout of the Goods and Services Tax (GST) as structural changes in the ease of doing business will propel growth.
As per reports, the study was done by ASSOCHAM-Ashvin Parekh Advisory Services. The Mumbai-headquartered body is a global management consulting firm with footprint in India and the UK.
Commenting on the issue, an Assocham Official told the media, "Most businesses would be able to get significantly more credits under the new indirect tax regime, leading to a benefit for most of them. It will bring a systematic approach and enhance transparency which will aid growth of business and would help the industry to concentrate on its core business."
"We believe that GST is a structural reform and is expected to accelerate the pace of GDP growth in India, despite implementation challenges in the near term. It would usher in lower taxes, seamless input tax credit, logistics savings and market share swings from unorganized to organised players," he added.