New Delhi: Union Finance Minister Nirmala Sitharaman expressed her satisfaction on Saturday, stating that the Goods and Services Tax (GST) has effectively reduced rates for consumers compared to the previous government’s regime. She was addressing the gathering at the GST Day event that was celebrated on the 6th anniversary of the GST regime.
Sitharaman emphasised that the GST has brought about increased tax buoyancy for both the central government and the states. Prior to the introduction of GST, India’s indirect tax system was fragmented, with each state functioning as a distinct market for industries and consumers. The implementation of GST has addressed this issue.
“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 state getting benefits,”said Union Finance Minister.
Taking a veiled swipe at Rahul Gandhi, who referred to GST as the ‘Gabbar Singh’ tax and claimed it increased burdens on citizens, Sitharaman denounced the statement as shameful. She clarified that the GST has actually provided relief to the common citizen. Additionally, she highlighted that several commonly used items and services have been exempt from GST to benefit the people.
Meanwhile, the Ministry of Finance announced that India’s gross Goods and Services Tax (GST) revenue collection for the month of June reached Rs. 1,61,497 crore. This figure represents a 12 percent increase compared to the revenue collected in the same month last year. Notably, this marks the fourth time that gross GST collection has surpassed the Rs. 1.60 lakh crore milestone.