New Delhi, March 29: The Lok Sabha finally passed the much awaited Central Goods and Service Tax (CGST) today, with a few amendments, amid protests by opposing parties which claimed that the Central government is paying no heed to the opposition and its advices. The four GST Bills were passed after an eight-hour marathon debate in the Lower House. The government is targeting the roll-out date of July 1 for the new indirect tax regime.
Reportedly, the House passed four bills to give effect to the Goods and Service Tax (GST). These bills are Central Goods and Services Tax (GST) Bill, Integrated GST Bill, Compensation GST Bill and Union Territory GST Bill 2017, while negating all the amendments put forward by the Opposition.
Finance Minister Arun Jaitley introduced the three other bills on Monday which were discussed and passed in Parliament today. As per reports, the Central Goods and Service Tax (CGST) would enable collection of tax on supply of goods and services. In addition to that prior reports claimed that the tax would have 4 slabs—5 percent, 12 percent, 18 percent and 28 percent. The highest tax will be 40 percent, and will only be there for emergencies.
The voting on GST Bill amendments took place clause by clause after Lok Sabha Speaker Sumitra Mahajan called for a vote. Finance Minister Arun Jaitley ended his address with a call for passage of the draft bills. Jaitley said goods MAY become slightly cheaper once the innumerous taxes are removed and the common tax, GST is imposed. He added that varied taxes like entry tax in states will be removed as well, after the implementation of the GST and if his words are to be believed, that might mean a slight fall in prices of products. Emphasising how the bill would facilitate “free flow of goods”, he said that this one tax will perhaps unite India as one economic entity.