Goods and Services Tax Archives - Lokmarg

GST Has Done Justice To Consumers By Bringing Rates Down: Sitharaman

By LokMarg 2nd July 2023

Union Finance Minister Nirmala Sitharaman said on Saturday that the Goods and Services Tax (GST) has done justice to consumers by bringing the rates down compared to the previous Government.

She went on to say that the GST has increased tax buoyancy for both states and the central government.
“GST has done justice to the consumers by bringing the rates down compared to the previous regime. Before GST was introduced, India’s indirect tax system was fragmented, where every state was effectively a distinct market for the industry as well as the consumer. GST has brought in greater tax buoyancy, as a result of which, more than your GSDP growth, your tax collection is growing. Therefore, both the centre and the states are getting benefits. We have to dispel the myth that states are losing out after joining hands for GST. Today, no state suffers after GST, and that is despite COVID,” said Union Finance Minister Nirmala Sitharaman.

In a veiled attack on Rahul Gandhi for calling the GST the ‘Gabbar Singh’ tax and saying that the GST has increased the burden, the Union Finance Minister termed the statement shameful and said that the GST has actually brought relief for the common citizen.

“On hair oil, toothpaste, soaps, perfumes, and detergents, the average Pre-GST tax burden was almost 28 per cent, which was brought down to 18 per cent under GST. These are tangible numbers. So, somebody were to say, GST actually has brought in a burden, and I don’t want to repeat the full expression, but it is a fact that it is being called the ‘Gabbar Singh’ tax, which is a shame because this country should know. A step like GST actually brought relief to the common citizen,” said the Union Finance Minister.

Nirmala Sitharaman further added that many common-use items and services have been exempted from GST for the benefit of the people.

“Many common-use items and services have been exempted from GST altogether, such as Food Items that are not sold prepackaged and labelled–rice, wheat, flour, curd, etc. Services like Healthcare and Educational Services, Public Transportation services, and Agricultural services are also exempt from GST,” said Nirmala Sitharaman.

meanwhile, the gross goods and services tax (GST) revenue collection of India in the month of June stood at Rs 1,61,497 crore, 12 per cent higher than the revenue collected in the same month last year, the Ministry of Finance said on Saturday.

“The gross GST revenue collected in the month of June, 2023 is Rs 1,61,497 crore of which CGST is Rs 31,013 crore, SGST is Rs 38,292 crore, IGST is Rs 80,292 crore (including Rs 39,035 crore collected on import of goods) and cess is Rs 11,900 crore (including Rs 1,028 crore collected on import of goods). The government has settled Rs 36,224 crore to CGST and Rs 30,269 crore to SGST from IGST. The total revenue of Centre and the States in the month of June 2023 after regular settlement is Rs 67,237 crore for CGST and Rs 68,561 crore for the SGST,” said Ministry of Finance.

It is for the fourth time, the gross GST collection has crossed Rs. 1.60 lakh crore mark. (ANI)

Telangana: Weavers Write Postcards To Modi For GST Exemption

By LokMarg 1st November 2022

A public gathering followed by a rally from Nizam College Grounds to General Post Office was organised on Monday where lakhs of postcards, written by weavers from across Telangana to Prime Minister, were deposited, aimed at getting GST exemption.

“During the freedom movement, the whole nation joined Mahatma Gandhi’s Swadesi Movement, to spin their own clothes on the charkha and reject foreign materials. Since 75 years of Independence, Narendra Modi is the first Prime Minister to apply tax on handlooms,” said MLC L.Ramana.
He said that lakhs of postcards have been written to Prime Minister, seeking the central government to support the handloom industry and exempt it from GST.

“We also request to allocate more budget and bring back all the schemes that were removed earlier. We will call for a nationwide protest until the central government comes down or the handloom industry is exempted from GST,” he said.

Ex-MP, Anand Bhaskar said, “The GST on handlooms has become a threat to the life of the weavers. We use this opportunity to request the Prime Minister to save these weavers. This public gathering will move towards the General Post Office, Abids as a Padayatra”.

He urged the center to call a GST council meeting immediately, waive the GST on handlooms, and save the weaver community. (ANI)

MyVote2019 – ‘GST Helpful In Long Run’

By LokMarg Publishing 30th January 2019

The move had brought our everyday lives to a standstill. But in hindsight, I feel it was a blessing in disguise for me. The move helped me switch to digital money. I started electronic payment facility in my shop. Now about 50 percent of my customers prefer e-payment over cash. The Goods and Services Tax (GST) also came with its own package of initial hiccups. Once we understood the tax slabs, things got easier for us and helped us in our business.

Earlier a service tax of 12 percent was charged on all footwear products. Now, goods up to Rs 500 come under a tax slab of 5 percent; and footwear above costing Rs 500 come under the 12 percent bracket. My shop is frequented more by people from lower middle and middle class. And they prefer buying products that are cheaper and priced below Rs 500. So a good chunk of sale in my shop is of products priced below Rs 500 and the benefit of a lower GST of 5 percent is thus, passed on to the customers.

There is also an additional benefit – we also make it a point to inform our high-end customers (who purchase goods priced over Rs 500) about the tax slab and the benefit of buying a product worth Rs 500 or less. Some of them happily agree and buy a pair of slippers or sandals in addition to what they have already bought.

Also Read: MyVote2019 – ‘Bad Rule But Good Oratory’

The Modi government has also been successful in implementing the Swachha Bharat campaign. My shop is located in a busy market with all kind of shops such as, eateries, groceries, wholesale, etc. Earlier there was no provision for dumping garbage. Heaps of garbage would pile up right at the entrance of the market. Also an open nallah (sewage canal) passing adjacent to the market used to drive away customers. Now you can see these dustbins — both for wet and dry waste installed around the market.

Representatives from the municipality too, visit us on a regular basis to make sure the market is cleaned up properly. I would give Modi, eight out of 10 marks for the Swachha Bharat campaign. Modi should be given another term since I do not see a better candidate to fit the bill.

#MyVote2019 – ‘I Have Full Faith In Modi’

By LokMarg Publishing 26th January 2019

The Modi government’s Swachha Bharat campaign has worked, at least in my mohalla at Tiwari Chowk in Deoghar. There has been a marked difference in the way the waste is managed here now. Earlier, garbage would be left on the roadsides to rot and would be picked up after a gap of many, many days. But now, the municipality workers come every day at a fixed time to pick up the garbage.

The street lights here are working and the women in my family feel safe to venture outside at night. I’m a shop-owner and I was pretty inconvenienced by the Goods and Services Tax (GST) when it was introduced. I suffered losses in the beginning because nobody was really able to understand the sudden rise in the prices of goods, the new billing invoices etc. But the sales tax officer of our area turned out to be a saviour.

He helped all the shop owners in my area get acquainted with the process. In turn, we were able to explain the new tax structure to our customers. I am a happy man now and have no regrets about voting for Modiji. He wishes the good for the country and his actions mean business. Detractors often argue about the ‘disastrous demonetisation’ but I believe the decision was a step in the right direction. People will now think twice before hoarding money. I am not going to get into the other details of demonetization because, frankly, it is a vast topic and I am not really an expert.

Petrol prices of late have definitely been bothersome. But I do not let that bother me. I like how Modiji is leading the country and would want him to continue. I don’t hate the leaders of the Opposition parties, but you can say that I love Modiji’s personality more. He has the qualities of a true leader. I sometimes wish I could be as decisive as he is. Rahul Gandhi, I feel, still has a long way to go before he can even think of leading the country. His heart is in the right place, but he lacks the spark.