GST Application to Improve the Transition of Goods via Roads Network

Goods and Service Tax popularly depicted as GST has so much to accomplish even in its starting stages, as the taxation regime has given various hints to the government and the nation that being a financial structure, it also demands to be taken into consideration from official papers to the lowest levels of road structure.

Yes, GST would be giving away a lot of homework to the government with its oncoming, and in this process, even Road Transport and Highways Ministry has stated that there is a lot to focus upon on the road and highway check points which are standing on borders. The statement has been writing down in the lieu of current situation prevailing in cargo dispensing bodies embedded within the highway security and inter-state transactions of goods.

Road Transport and Highways Minster Nitin Gadkari said that “The Ministry would be one of the biggest contributors towards the GST regime. There are check posts under the state government as well as the Central government. We are going to link them and are developing an app for it.”

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State border check posts, which scrutinize material and location-based tax compliance, often stretch the transit time of goods by hours and this reason has given a concern to which the ministry has paid attention. Even often the trucks cargos and lorries while carrying goods passes from Delhi to Bangalore via Rajasthan even if it is a big route just to avoid any significant time-consuming factor. This is just an example how the countries cargo distribution is suffering a linear way.

These hurdles create an unproductive transit hours and curb environment of delay between manufacturers also giving a throwback to the logistics industry as creating a regression from both the ends. After the application of GST regime, the transition of goods will be improvised with a dedication thus creating a cutting down the inconvenience faced by transport mechanism while pushing the distribution cost to a lower 10-15 percent setback.

As per the statistics, every check would demand a 50 crore of investment to get a rectification needed helping the structure significantly side by side. An official told in the same direction that, “The Road Transport and Highways Ministry has decided that complementary activities should happen for GST implementation. It has identified 80 inter-state check points pan-India to be augmented for smooth flow of goods.”