Any reforms and particularly the GST which is the major initiative in the indirect taxes will have some challenges.
Some of the challenges are:
• Building up the IT infrastructure
• Getting the GST bill approved at different state levels.
• Assessing the assesse, which particular base to use for assessment.
• Invoicing, whether central bureaucracy would be able to take care of the state bureaucracy in case of merging.
• The difficulty is when the inter-state transfer takes place, and there are problems with the logistics.
• There is lack of clarity on the service tax The services which were not taxed earlier like education and health care will not be taxed under GST.