Impact of indirect tax as an instrument of economic development

of I

STATISTICAL TOOL

1) Hypothesis testing on GST will be beneficial to Indian Economy

(Considered only the yes and No from questionnaire marked by the respondent)

Ho: Respondent Agree that GST will benefit Indian Economy

H1: Respondent Disagree that GST will benefit Indian Economy

Sl. VAT Rates No. of _ _

No. respond X-X (xi-x)2
ents

1. Agree 15 5 25
2. Strongly Agree 22 12 144
3. Somewhat Disagree 1 -9 81
4, Strongly Disagree 2 -8 64
Total 40 314

Table 1: Showing the GST will be beneficial to Indian Economy

H0:µ≥40

H1:µ≤40

S2= ∑(xi-x)2/(n-1)

=314/40-1

=8.05

S =2.83

=2.83/√40
Impact of indirect tax as an instrument of economic development
of I

=0.44+10

=10.44

= -0.98

R|z|= -1.645

Z< R|z|
Impact of indirect tax as an instrument of economic development
of I

The value of Z= -0.98 indicates our assumption is correct.

2) Hypothesis testing on Uniformity in Rates

(Considered only the agree and disagree from questionnaire marked by the respondent)

Ho: Respondent Agree that Uniformity in GST Rates

H1: Respondent Disagree for Uniform Rates in GST

Sl. Uniformity in No. of _ _

No. Rates respondents x-x (x-x)
1. Agree 16 6 36
2. Strongly Agree 21 11 121

3. Somewhat 2 -8 64
Disagree
Strongly 1 -9 81
Disagree
40 302
Table 2: Showing Uniformity in GST Rates

H0:µ≥40

H1:µ≤40

S2= ∑(xi-x)2/(n-1)

=2.78

=10.43
Impact of indirect tax as an instrument of economic development
of I

= -0.97

R|z|= -1.645

Z< R|z|

The value of Z= -0.97 indicates our assumption is correct.

Impact of indirect tax as an instrument of economic development
of I

3) Hypothesis testing on GST implementation to impact Business Model/Supply

Chain

(Considered only the Agree and disagree from questionnaire marked by the
respondent)

Ho: Respondent agree for positive impact on Business Model/Supply chain

H1: Respondent Disagree for positive impact on Business Model/Supply chain

Sl. Impact on No of _ _
No. Business Respondent (x-x) (x-x)2
Model/Supply
chain
1. Yes 23 13 169
2. No 7 -3 9
3. Can’t say 10 0
Total 40 178
Table 3: showing GST implementation to impact Business Mode/Supply Chain

H0:µ≥40

H1:µ≤40

S2= ∑(xi-x)2/(n-1)

=2.13

=10.33
Impact of indirect tax as an instrument of economic development
of I

= -0.98

R|z|= -1.645

Z< R|z|

(Lies between -1.96 and +1.96 in the bell shape graph)

The value of Z= -0.98 indicates our assumption is correct.

Impact of indirect tax as an instrument of economic development
of I

4) Hypothesis testing on the Binding common directives to ensure Uniformity

(Considered only the Agreed and Disagreed from questionnaire marked by the
respondent)

Ho: Respondent Agreed binding common directive to ensure Uniformity

H1: : Respondent Agreed binding common directive to ensure Uniformity

Sl. Binding No of _ _
No. common respondent (x-x) (x-x)2
directives to
ensure
Uniformity

1. Agree 9 -1 1

2. Strongly Agree 31 21 441

Total 40 442

Table 4: showing Binding common directives to ensure Uniformity

H0:µ≥40

H1:µ≤40

S2= ∑(xi-x)2/(n-1)

=3.36

= 10.53
Impact of indirect tax as an instrument of economic development
of I

= -0.99

R|z|= -1.645

Z< R|z|

( Lies between -1.96 and +1.96 in the bell shape graph)

The value of Z= -0.99 indicates our assumption is correct.

Impact of indirect tax as an instrument of economic development
of I

5) Hypothesis testing on Impact of GST on the cost/price of Product Service

(Considered only the Yes and No from questionnaire marked by the respondent)

Ho: GST will positively impacted on the cost/price of product Service

H1: GST will negatively impacted on the cost/price of product Service

Sl. Impact of GST No of _ _

No. on cost/price of Respondents (x-x) (x-x)2
product sevice
1. Can’t say 14 4 16
2. Decrease 13 3 9
3. Increase 15 -4 16
4. Neutral 17 -3 9
Total 40 50
Table 5 showing Impact of GST on the cost/price of product service

H0:µ≥40

H1:µ≤40

S2= ∑(xi-x)2/(n-1)

= 1.13

=10.17
Impact of indirect tax as an instrument of economic development
of I

= -0.95

R|z|= -1.645

Z< R|z|

( Lies between -1.96 and +1.96 in the bell shape graph)

The value of Z= -0.95indicates our assumption is correct.

Impact of indirect tax as an instrument of economic development
of I