New Delhi – Lower House of the Indian Parliament, Lok Sabha cleared ‘Goods & Service Tax‘ bill (GST) after the Upper House Rajya Sabha, earlier gave a positive nod for it. Prime Minister Narendra Modi expressed confidence that GST would put an end to the tax terrorism and make consumer ‘The King’. PM Modi thanked all the opposition parties for extending support to GST, He further added that GST would aid in controlling corruption and black money. In this context the Finance Minister Arun Jaitley provided clarifications regarding the tax reforms.
All 443 members present in the Lok Sabha voted in favour of ‘GST’ bill. Prime Minister Narendra Modi said that approval for GST is a historic moment and congratulated all political parties for the same. He further added that the victory is not just of the government, but more so of a matured democracy. He further stated that GST would put an end to the sufferings of business fraternity as well as that of consumers. PM Modi also said that the earlier taxation structure was a hindrance for progress of the country and GST would be helpful in achieving a well-balanced development of the country and would also help smaller states improving their revenues.
Prime Minister Narendra Modi claimed that the country’s business community has been practicing “Kaccha-Pakka” (Unaccounted-Accounted)bill system to save taxes. GST would put an end to this system of Kaccha (Unaccounted) bills that would help control blackmoney inflow in the Indian market.
The Prime Minister further added that GST would be beneficial for both the consumers and small manufactures alike. The revenue loss faced by states due to GST would be compensated by the Government for next five years.
GST bill which was passed in both the houses of Parliament would be further presented in state assemblies for their approvals. For it to be actually implemented, 16 out of 32 states have to approve the bill. As the bill has been passed with ease in both the houses of Parliament, it is being foreseen that it would be easily sanctioned in the state assembly too. GST is viewed as India’s biggest economic reform post 1991.
— Samir Dattopadhye (@samirsinh189) August 9, 2016