Ahead of the rollout of the goods and services tax (GST) at the midnight of June 30 at a function inside Parliament’s Central Hall, the Union Cabinet chaired by Prime Minister Narendra Modi on Thursday passed a resolution expressing gratitude to Chief Ministers of all states and others for their cooperation in introduction of the new indirect tax regime.
The government said in the resolution that GST is one of the most sweeping indirect tax reforms in any federal polity in the world, in which complexities such as multiplicity of taxes, 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,” the resolution said.
The resolution dubed the GST as a “shining example” of national integration and of fiscal federalism. “It is a testimony to the working of India’s federal democracy. It has been made possible because of close cooperation between the Central government and all the state governments as well as all political parties.”
The Cabinet acknowledged the contribution made by all state governments, by all Chief Ministers and state finance ministers and by all political parties which made it possible for GST to be implemented in the country from July 1st 2017.
“The Union Cabinet expresses its gratitude to the Chief Ministers of all states, to the GST Council, to the heads of all national-level and state-level recognised political parties, to all members of Parliament, to all members of state Legislatures and to all sections of society, including trade and industry associations,” the resolution said.