Enumerate the indirect taxes which have been subsumed in the goods and services tax (GST) in India. Also, comment on the revenue implications of the GST introduced in India since July 2017.

Goods and service tax introduced in 2017 for subsuming of following indirect taxes: 

Central

1. Central and additional Excise Duties

2. Service Tax

3. Countervailing Duty

4. Special Additional Duty of Customs 

State

1. State Value Added Tax

2. Entertainment Tax

3. Central Sales Tax

4. Octroi and Entry tax

5. Purchase Tax

6. Luxury tax

Revenue Implications of GST since 2017:

Tax Revenue:

1. Gross revenue collection in FY 2019- 20 soared by 42% from FY 2016-17.

2. Actual GST revenues decreased with an effective tax rate slipping to 11.6%.

3. Compensation fund’s burden increased the Centre’s borrowing (1 lakh crore, 2020-21).

Tax Base:

1. Doubled from 66.25 lakhs to 1.28 crores (2017- 2021).

Tax Buoyancy

1. Expected an increase of 1.2% but, tax buoyancy of GST shows volatility.

2. Growth rate in GVA is less than that of GST collection.

Tax Compliance

1. Improved indirect tax compliances

2. Tax evasion and frauds resulted-losses in revenue (70,000 crores).

Even after 4 years, GST has not yielded the expected results. Tax structure rationalisation, robust compliance regime, and widening the ambit of GST is the need of the hour.