New Delhi, 21 September (IANS). Union Commerce and Industry Minister Piyush Goyal has appealed to industries to give full advantage of tax deduction to customers before the GST reform is implemented.
The new framework of the Goods and Save Tax (GST) is being implemented from 22 September. Under this, the number of existing tax slabs will be reduced from four – 5 percent, 12 percent, 18 percent and 28 percent to two – 5 percent and 18 percent. With this, the government has reduced tax many things significantly, the benefit of which will start getting to the common people from this day.
Apart from this, the government has set a tax of 40 percent on Sin and Luxury Goods.
The Union Minister said at an event in New Delhi, “Please make sure that consumers get full benefit of tax deduction. This will also benefit the industry.”
Goyal further said that the government is in mission mode to promote trade ease and manufacturing.
He referred to several steps taken by the government to improve the business environment, including implementing new logistics policy, development of new industrial cities, relieving small disputes and reducing the burden of compliance with industry.
The Union Minister said that some areas like automobiles have already started benefiting customers. He further said that today the world wants to strengthen business relations with India by negotiating free trade agreements.
Earlier this month, the Center had directed businesses to display a temporary price list of goods, including cars and consumer durables, to show the price reduction under GST rate reforms.
Additionally, the Central Board of Customs and Customs (CBIC) held meetings with industry associations and several ministries to ensure smooth implementation of cuts declared in GST Council meeting.
Industry has reached a consensus to make the benefits of tax deductions to consumers. The tax deduction is estimated to reduce the price on consumer durables at least 10 percent and automobile prices by 12-15 percent.
-IANS
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