Though earmarked for the future, the goods and services tax (GST) rate increase outlined in the Budget has already raised a number of understandable concerns among MPs. However, the rationale for the tax on consumption, introduced here in 1994, is generally accepted.
GST is strongly backed by the International Monetary Fund and the World Bank for being an efficient tax tool with a direct impact on "fiscal mobilisation, macroeconomic stability, and development". Consequently, it's the globe's most widespread general consumption tax.
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