Demonetisation has put GST at risk, says West Bengal Finance Minister Amit Mitra

The abrupt banning of Rs 500 and Rs 1000 notes on November 8 however, has created an economic slowdown and states are losing more money sooner than planned, Mitra said.

By: Express Web Desk | New Delhi | Published:November 30, 2016 9:49 pm
demonetisation, gst bill, gst, goods and services tax, parliment winter session, amit mitra, west bengal finance minister, gst rollout 2017, modi, narendra modi, indian express, india news The Goods and Services Tax or the GST has been thoroughly jeopardised by the centre’s abrupt demonetisation drive, said Finance Minister of West Bengal, Amit Mitra.

West Bengal Finance Minister Amit Mitra Wednesday dropped a bombshell, saying that the Goods and Service Tax (GST) would be difficult to implement from April next year. Speaking to NDTV, Mitra, who is on the GST Council, said that demonetisation has made GST a “double whammy” for states. Mitra said he would approach other state finance ministers and ask them to rethink their support to the bill.

He claimed that Prime Minister Narendra Modi’s surprise announcement on November 8 has slowed down the economy and states are losing more money sooner than planned. “The government needs to redo its arithmetic,” he said. Under the GST, which will replace all the existing central and state taxes, the Centre will have to compensate states for the revenue deficit accrued over a period of five years.  Calling demonetisation a “tectonic” hit, Mitra said “I’m deeply concerned about timing of the GST. People are talking about a recession. A 2 per cent fall in GDP is serious, (so) can GST happen?”

Amendments related to GST are still pending the Parliament. Proceedings  in the House have been stalled with the opposition demanding Prime Minister Narendra Modi’s presence during the debate on demonetisation. West Bengal Chief Minister Mamata Banerjee has been stringently opposing the move as it has put the common man at the mercy of banks to withdraw or swap cash. She has undertaken protest rallies in Delhi and Lucknow so far. More are planned in Punjab and Bihar.

 

 

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  1. M
    MyTake
    Nov 30, 2016 at 6:07 pm
    (He claimed that Prime Minister Narendra Modi’s surprise announcement on November 8 has slowed down the economy and states are losing more money sooner than planned. )lt;br/gt;lt;br/gt;If stealing and aming wealth is the indicator of growth of economy than you got Congie disease Mr.
    Reply
    1. M
      MyTake
      Nov 30, 2016 at 6:03 pm
      Fix the Bengal first to prove your worthy, before dishing out unsolicited advices!!
      Reply
      1. B
        Bharat Maa
        Nov 30, 2016 at 7:31 pm
        he is not advising you bhakt, he is a member of the GST council.
        Reply
        1. S
          Shafted Mohammed
          Nov 30, 2016 at 9:10 pm
          Mamta did lost huge amount of money and thus would not take this easily and would do maximal damage to modi policies.
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          1. A
            Arun
            Nov 30, 2016 at 5:31 pm
            His Mistress Voice .Poor West Bengal Finance Minister Amit Mitra what he can do or say.Hope WB will not become an liability to nation if it goes against Nation on GST.The poor but intellectual people of west Bengal had suffer in hands of CPM Govt and now with Mamata Govt.It is like Jumping from the frying pan into the fire.
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            1. D
              dd
              Nov 30, 2016 at 7:58 pm
              At this point he sounds useless....
              Reply
              1. D
                dd
                Nov 30, 2016 at 7:59 pm
                Don't Black mail....Be open and disclose how much did Mamta lose because of surprise event....
                Reply
                1. D
                  dd
                  Nov 30, 2016 at 4:32 pm
                  Don't black mail the country....Try it hard you will end up having it...
                  Reply
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