News shortcuts: From the Courts | Top Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | Professional Updates | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax | PPE Safety Kit SITRA Approved | PPE Safety Kit
Indirect Tax »
 Investment tips for those opting for new tax regime
 Indirect tax dept issues notices to companies over late input credit claim under GST frame
 E-generated document required for indirect tax notices
 FinMin seeks industry inputs on direct, indirect tax changes
 Govt gives businesses four months to settle indirect tax disputes
 ITR filing becomes easy via new 'e-Filing Lite' portal - 5 things to know Income Tax Return
 No income tax on interest from accident compensation: High Court
 How much tax do you need to pay for your equity investments?
 Income Tax Department proposes new norms for taxing MNCs in India
 Can you claim tax benefit for tax paid on insurance premium? a
 Top 30 Income Tax Judgments in 2018

Keep indirect taxes 'low, affordable' under GST
April, 06th 2017

The Congress today urged the government to keep indirect taxes under the new GST regime "low and affordable" so that these do not lead to rise in inflation which will hurt the poor the most.

The opposition party welcomed the four GST Bills and said it would not press for any amendment even though some of its members had proposed some changes.

Congress spokesperson Rajeev Gowda hoped the implementation of the GST legislation will lead to a "one nation, one tax" regime and will help in the growth of the country's economy and in creation of jobs.

"We have to make sure those indirect taxes which are what the GST regime is all about, are kept manageable, affordable and that they are not inflationary.

"Inflationary impact hurts the poor the most. Indirect taxes are fundamentally regressive and so we urge the government to pay attention to reducing taxes," he told reporters.

On the proposed amendments, Gowda said, "The amendments will not be pressed for in the interest of federal structure of the country."

He said this government has a "terrible record" when it comes to indirect taxation and it also has a record of saying that large number of people in India do not pay taxes.

The Congress leader hoped that the Goods and Services Tax (GST) regime would lead to a drop in the number of tax slabs in a time-bound manner.

Gowda said while the tax rates in India are routinely 18 per cent, but in the developed countries the tax rates are less than 17 per cent and in the emerging economies, these are on an average around 16.6 per cent.

"Why should Indian tax rates be 18 per cent and above...India would become a high tax economy which will only hurt the ability of the economic investment and economic growth will also be hindered," he said.

Talking about exclusion of real estate, petroleum products, alcohol and tobacco from the GST net, he said, "We urge the government to push forward negotiations in a time-bound manner to ensure that everything comes within the GST net. This is going to require a lot of efforts and convincing of states...we urge the government to do the right thing."

Expressing happiness that this unified market is being created within the country, he said there is concern about shifting of economic growth between states.

He hoped the government will ensure that it comes up with better and more timely mechanisms that will ensure that this disparity is actually redressed and reversed.

Gowda also hoped that during the transition period, the government will make sure that tax payers are enabled to participate in the GST regime in the smoothest possible manner.

"We are looking at elimination of inter-state check-posts and the smooth movement of traffic and freight between the states of India. We are looking forward to one market.

"This is what (former Finance Minister P) Chidambaram had promised more than a decade ago as part of the UPA's commitment towards GST. We are looking forward to GST becoming a tangible and impactful reality that helps India's growth rate grow even further," he said.

Gowda urged the government to ensure that enough and adequate measures are taken in time to make sure that people are not harassed due to unbridled powers given to tax authorities as part of amendments to the Finance Bill.

He said that if an individual or a company is penalised by tax authorities for software or technology-related problems in filing tax returns, it will be "harassment and tax terrorism".

Home | About Us | Terms and Conditions | Contact Us | PPE Kit SITRA Approved | PPE Safety Kit
Copyright 2020 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting