He admitted that the GST is not an easy reform to be implemented and that people will try to prevent this from taking place.
Chennai: Union Finance Minister Arun Jaitley ruled out rolling back the Goods and Services Tax (GST). He said this was launched in the nation’s interest after obtaining consensus from all the States and Union Territories in India. He admitted that the GST is not an easy reform to be implemented and that “people will try to prevent this from taking place.”
The Union Minister averred that the GST was based on the principle of congruence and that the switch over (from the previous tax regime) is smooth and there was no taxation on taxation, besides which the process of filing returns has been simplified. This would help to instil among the people a sense of ownership of the country.
“The reform is in larger interest of the nation. So, we don’t blink or pause. If you do, then you will go into reconsideration mode and people will not allow you to go into reform mode,” Mr Jaitley said without naming anyone.
Aiming to explain the rationale of implementing the GST, he said, “Let’s be honest. The country needs more revenue. Our armed forces guarding the borders need arms and ammunition. Can anyone say we don’t have money for the army or police who protect us? Don’t you use highways or roads? The sense of ownership of the country needs to come to us,” Mr. Jaitley said addressing a GST Conclave here on Sunday evening.
The Minister also assured that the GST Council would consider the representations made to him by the industry associations. The GST, he said, resulted in free flow of trucks across the country and 25 States and 7 UTs have dispensed with the system of Octroi check posts, thus saving time and spends on fuel.
As to the net impact he said the tax regime was designed by the government under Prime Minister Narendra Modi by creating an environment which is business friendly and investor friendly while ruling out any interference by the government. “This will transform the country into a developing economy and improve the (quality) of lives of the people.… the resource can be invested in slum development, infrastructure or health,” he said and added that GST can transform the image of the country.
