Hyde
SENIOR MODERATOR
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Basically they will charge taxes from various indirect resources and those who pay taxes can reclaim the paid amount. Those who do not will at least pay something. This is more applicable to middle class to elite class.I got very few of the points.... Retailers do not want to deal with Taxman so it will be taken from their Utility bill.... Some special tax on expensive branded items like shirts, shoes, hand bags....
For example the Utility Bill you mentioned, Imagine your monthly bill for electricity is 20,000 rupees. You pay sales tax of 7.5% on top of that. If you are a tax payer, you can adjust the tax in your tax returns, those who are not filing tax returns will at least pay something through the bill. It doesn't apply on poor people since their electricity bill is never going to be 20,000.
It is also true for various other methods such as Mobile bills, First/Business Class for Flights. It doesn't apply on economy class so poor are somewhat safe.
I think if you file tax returns you can reclaim/adjust all the amount you have paid indirectly. So it is good idea to raise tax/revenue collection.