New Delhi, June 24 : Prime Minister Narendra Modi on Sunday reached out to the states by crediting them for the success of Goods and Services Tax (GST) and said that the historic tax reform is a great example of ‘cooperative federalism’.
“If I have to give credit to anyone for successful implementation of ‘One Nation One Tax reform’, then I credit the states of our nation. GST is a great example of Cooperative federalism, where all the states decided to take a unanimous decision in the interest of the nation,” Mr Modi said speaking in the 45th edition of his monthly radio broadcast ‘Mann Ki Baat’ over All India Radio.
‘Till date, 27 meetings of GST council were held where people from different ideologies sat together, but all decisions were taken with consensus,” he said as the state is set for completion of first year since the new and uniform tax regime has come into effect.
The GST, initiated by the UPA regime originally is an uniform taxation mechanism that has replaced multiple Indirect Taxes in India. The Goods and Service Tax Bill was passed in Parliament March 29, 2017 and new tax regime came into effect from July 1, 2017. It is hailed as a comprehensive, multi-stage and destination-based tax.
“The check post has become extinct after the arrival of the GST scheme and the movement of goods has become faster, which not only saves time but is also accruing benefits in the area of logistics,” he said.
Prime Minister said earlier with regard affairs related to taxation, people spoke about “rampant complaints of Inspector Raj” but now the GST is seen not only as the victory of integrity “but it is also a celebration of honesty”. “GST is probably be the biggest tax reform in the world. The successful implementation of such a huge tax reform in India was successful only because the people of the country adopted it and through the power of the masses,” he said.
Earlier, there were 17 different taxes, but there is only one tax today, he stressed. ‘Return to refund, everything is online and transparent.’
World’s greatest tax reform, which would have normally taken 5-7 years, became stable in India in just one year, he said.
PM credits states for Success of GST
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