JAMMU: BJP State Spokesperson Balbir Ram Rattan, while terming the passage of Goods and Services Tax (GST) Bill as a historic tax reform in the post Independence India, said that it is indeed a step towards bringing uniformity in matters related to taxation throughout the country.
In a statement issued here on Thursday, BJP State Spokesperson said that it goes to the credit of BJP that it managed to take along all political parties of the country, due to which economic game changer Bill got unanimous approval in Rajya Sabha. The way GST Bill received hundred percent votes in Rajya Sabha is also the reflection of the approval by the political parties towards affecting changes in the decades old present system of taxation.
“This Bill is also a milestone in evolving an evolution of ideal tax structure in the country for ensuring rapid economic growth and development”, Balbir said and added that the BJP’s ability to carry all the Members of the House with it in supporting GST Bill is indicative of PM Narendra Modi’s desire to put the country on fast track of growth and glory. Simplification and uniformity of taxes on Services and Goods had been sine-qua-non for ensuring and enabling business and manufacturing to grow and flourish. It would also lead to an easier administration and enforcement by bringing down the current taxes from the level of 25 – 30 percent to 18 percent.
The GST will cut down the large number of taxes imposed by the central government and states and lead to the creation of a unified market, which would facilitate seamless movement of goods across states and reduce the transaction cost of businesses.
Balbir said that while the existing central taxes include Excise Duty, Service Tax and additional customs duties, the state taxes comprise of Entertainment Tax, Luxury Tax, Lottery Tax, Electricity Duty, Sales Tax, Octroi, Value Added Tax (VAT). The GST will dissolve all the taxes into one making India a single, unified national market.
GST will also help corporates by simplifying taxation – it will reduce tax on tax, reduce tax compliance burden, and there will be more transparency and efficiency as it will reduce corruption and increase competitiveness.