Scrap 28 per cent slab of GST: VTA to Govt

Source: The Hitavada      Date: 04 Jul 2018 14:41:50






Business Bureau

Though the Vidarbha Taxpayers Association (VTA) has accepted the Union Government’s stand on uniform slab of Goods and Services Tax (GST) for all the products and services, it said that the highest rate of 28 per cent GST on certain products should be brought down. J P Sharma, President of VTA, said that within one year the Government has collected more than estimated tax. “Citizens have made up their mind to pay up to 15 per cent GST. But it is recommended that the highest GST slab of 28 per cent should be deleted and the items therein should be included in 18 per cent slab. Because products falling under 28 per cent GST slab are finding extremely difficult to attract customers. Further, because of the high tax slab, possibility of many sellers avoiding billing to escape the heavy rate of GST cannot be ruled out. It will lead to heavy financial loss to the country’s exchequer,” he said.

Ramkishan Ojha, Vice President of VTA, said that multiple returns, rules and various tax slabs have made life of an ordinary trader dreadful. “A ‘single tax GST’, was promised, which remains a distant dream so far,” he felt. Tejinder Singh Renu, Secretary of VTA, said that it is praiseworthy on the part of GST Council to arrive at the decisions on a constant basis despite the differences in political philosophy between the political parties in different states of our country. “Overall, the taxpayers and the Government have both negotiated a difficult and long terrain for GST in the last one year and one hopes that the journey might get easier in the coming years. Although it may take few years before the country can truly begin to enjoy the full benefits of GST, it would be a journey which would be valuable for the Indian economy,” he said.

Congratulating the Government for one year of successful implementation of GST in the country, which resulted in an additional tax revenue of Rs 4,00,000 crore, VTA has urged the Government that with additional tax revenue and increased tax base now, it’s high time for the Government to pass on some portion of this additional tax collection to the taxpayers and the citizens by reducing Goods and Services Tax slabs on commodities of frequent use.