NEW DELHI: After several arguments, the Lok Sabha on Wednesday finally passed the GST Constitutional Bill. Urging to pass the bill, Union Minister Arun Jaitley said that GST will cut down the prices in the long run and definitely boost the economic growth.
“I do not foresee any state losing revenue after the roll out of GST. I beseech you, clear GST,” Jaitley appealed for the smooth passage of Modi government’s biggest reforms in Parliament.
The minister further added that the central and the state governments are not keen to impose higher Goods and Service Tax (GST) that could hurt people and added that the proposed GST would only harmonize an assortment of state and central levies into a national sales tax which business and policy makers hope would boost manufacturing and reduce corruption.
Arun Jaitley who is also the Minister of Corporate Affairs and Minister of Information and Broadcasting of India proposed that the GST rate be set at 27 percent, much above the global average of 16.4 percent for similar taxes.
He said that the GST would definitely be a boost to the trade and after its implication, there will be no tax on tax. “The entire process of indirect taxation will change if the GST is implemented,” he said.
After the Lok Sabha initiated a discussion on the Bill on Tuesday, Jaitley ‘requested’ the Opposition to help clear the bill and not be firm on sending it to the Standing Committee; else the planned roll out of GST from April 1, 2016 will be late by another fiscal.
“This bill has gone through the Standing Committee for two and a half years. It has been before dozens and dozens of empowered committees. Only then has a consensus happened. I beseech you to rise above party considerations,” Finance Minister Arun Jaitley said. “If all our CMs agree why are we delaying it? And that means your states will suffer,” he added.