Economic Survey: GST will create a common market & improve tax compliance

It is a bold new experiment in governance of India's cooperative federalism, said the report

The Economic Survey 2016-17 presented in Parliament on Tuesday states that against the backdrop of robust macro-economic stability, the year was marked by two major domestic policy developments-the passage of the Constitutional Amendment, paving the way for implementing the transformational Goods and Services Tax (GST), and the action to demonetise the two highest denomination notes. The GST will create a common Indian market, improve tax compliance and governance, and boost investment and growth; it is also a bold new experiment in the governance of India’s cooperative federalism.

The Survey Report says that demonetisation has had short-term costs but holds the