The Union Cabinet meeting chaired by Prime Minister Narendra Modi on Thursday passed its resolution on GST calling it a game-changing reform that will lower tax and make it easier to do business. The Cabinet also expressed its gratitude to Chief Ministers of States and others for their cooperation in the introduction of the Goods and Services Tax (GST), which is set to be rolled out on July 1. All states and union territories (UTs), except Jammu and Kashmir, have passed the State GST Act and are ready to rollout the indirect tax regime from the midnight of June 30.
An official release after the Cabinet meeting said, “GST is the biggest tax reform in independent India. It is one of the most sweeping indirect tax reforms in any federal polity in the world, in which complexities such as multiplicity of taxes and cesses, multiplicity of rates, multiple compliances, and cascading of taxation will be removed. This game-changing reform will result in significant ease of doing business as well as reduction in the overall tax burden on the consumers and the common people.”
“GST is a shining example of national integration and of fiscal federalism at its best. It is a testimony to the working of India’s federal democracy,” it added.
The Cabinet under the Chairmanship of PM Modi also acknowledged the contribution made by all State Governments, by all Chief Ministers, State Finance Ministers, Heads of all national level and state-level recognized political parties, all Members of Parliament, all Members of State Legislatures and all sections of society including trade and industry associations which made it possible for GST to be implemented in the country.