MUMBAI: The oil and gas sector will not gain from the goods and service tax (GST) and will lose out due to compliance with dual taxation regimes and non-creditable tax costs, says a report.
Last week, Parliament passed the 122nd Constitution Amendment Bill 2014. While the Rajya Sabha passed the Bill on August 3, the Lok Sabha did the same on August 8. The government hopes to roll out the new tax regime, which will subsume several Central (central excise, service tax, special additional duty of customs etc) and state (octroi, entry tax, value added tax, purchase tax etc) taxes into a single tax, from April 1, 2017. The GST will mitigate cascading taxation and facilitate a common national market.