*GST: THE ROAD AHEAD*
👉 Rajya Sabha passed the Constitution amendment Bill
👉 It will then be sent for presidential reference
👉Subsequent to that, the Bill will be transmitted to the Lok Sabha (possibly on Thursday), which also needs to approve the amendments by two-thirds majority
👉 The President will then refer it to the state assemblies
👉 At least half the state assemblies, that is 15, would need to ratify the Bill by two-thirds majority
👉 It will then go for presidential assent before being notified in the gazette
👉 After all these procedures, Parliament would take up the actual GST Bill (possibly in the winter session)
👉 Assurances that Left and regional parties would seek from govt
👉 The actual GST Bill should take care of concerns about state govts being allowed to raise revenue in emergency situations
👉 The subsequent GST Bill should not be categorised as Money Bill, bypassing Rajya Sabha
*GST Impact on Sectors/Companies in a Nutshell*
» *Banks* _Current Tax Rate 15%. After GST, 18%. Negative_
» *Consumer Staples* _Current Tax Rate 22%. After GST, 18%. Positive for Asian Paints, Dabur, HUL, Emami; Negative for ITC, UBL_
» *Consumer Discretionary* _Current Tax Rate 15%. After GST, 18%. Negative for Jubilant Foods, Cafe Coffee Day, Restaurant businesses_
» *Media & Entertainment* _Current Tax Rate 15% + 7% State Entertainment tax. After GST, 18%. Positive for Dish TV, Videocon D2H, BIG TV_
» *Telecom* _Current Tax Rate 15%. After GST, 18%. May see marginal dip in consumption_
» *Auto & Auto Ancillary* _Current Tax Rate 27%. After GST, 18%. Positive for M&M, Maruti, Bajaj Auto, Eicher Motors, Ashok Leyland, etc._
» *Metals* _Current Tax Rate 18%. After GST, 18%. No significant impact_
» *Cement* _Current Tax Rate 27%. After GST, 18%. Positive for UltraTech, Shree Cement, Ambuja Cement, etc._
» *Pharma* _Current Tax Rate 15%. After GST, 18%. Negative for Pharmaceutical co.s_
» *Real Estate* _Current Stamp Duty 15%. After GST, 16%.No significant impact_
» *Logistics* _No change in Tax Rate after GST. Postive for Container Corp, GATI, etc._
