INTRODUCTION Of  LEVY TAX :

 

As understood traditionally in Economics, a good taxation system should meet five basic conditions: fairness, adequacy, simplicity, transparency, and administrative ease . To achieve these, the legal framework of a taxation system should be oriented towards the same. The legality of any tax is established largely by some key aspects like the power to levy tax, the incidence of tax, the liability of being taxed ,exemptions from being taxed and if there are any special provisions made in consonance with the socioeconomic milieu of the country in which the tax is being introduced. These are largely covered under Chapter IIIof the Model GST Act. This write up would explicate these aspects thus attempting to give the reader an understanding of the legal foundations of the new taxation system.