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[10] Moreover, the extent of regressive nature of the indirect tax is dependent upon the sort of indirect tax. Empirical evidence suggests that excise taxes are usually much more regressive than VAT. This may be attributed to the fact that excise taxes are levied on merchandise which include alcohol, tobacco, and these merchandise comprise a high
Compliance stress on compact Businesses: Although the GST routine offers exemptions and simplified techniques for compact enterprises, the requirement to comply with both central and condition GST regulations can even now pose a obstacle for little and medium enterprises (SMEs) and startups, possibly hindering their expansion. Skip to information