Prime Minister Narendra Modi on Friday hailed GST Council’s decision to lower rates for 27 commodities and increase the turnover threshold to Rs 1 crore. In a series of tweets, the Prime Minister said that the new changes will made the Goods and Services Tax “simpler”. “Good and Simple Tax (GST) becomes even simpler. Today’s recommendations will immensely help small and medium business.” PM Modi said. Modi went on to extend his congratulations to Union Finance Minister Arun Jaitley. “I congratulate FM @arunjaitley & his team for engaging with various stakeholders for extensive feedback which led to today’s recommendation,” PM Modi said.
Good and Simple Tax (GST) becomes even simpler. Today’s recommendations will immensely help small and medium business.
— Narendra Modi (@narendramodi) October 6, 2017
Modi’s remarks came after GST Council made sweeping changes to GST, in a move to give relief to small and medium businesses. The council on Friday hiked the turnover threshold to Rs 1 crore for businesses to avail of the composition scheme that allows them to pay 1-5 per cent tax without having to go through tedious formalities. Speaking to reporters after the 22nd meeting of the GST Council, Union Finance Minister Arun Jaitley said, “Compliance burden of medium and small taxpayers in GST has been cut and the eligibility of Composition Scheme has been raised to Rs 1 crore.”
In a tweet, PM Modi said that the new measures will make GST more effective. “Composition scheme has been made more attractive & other facilitation measures will make the GST even more people-friendly & effective.” He further added: “GST is in line with our constant endeavour to ensure interests of our citizens are safeguarded & India’s economy grows.”