GST Bill introduced, hits hurdles in Odisha Assembly
- Author: Essie Rivera May 20, 2017,
May 20, 2017, 7:45
Stating that prices will come down for the common man under GST, he said importing state like Jammu and Kashmir will benefit.
Expressing its disappointment, the association said, "the effective tax rate of 40 per cent on these products under the GST regime is against the stated policy of maintaining parity with the existing weighted average tax which is significantly below 40 per cent".
He said the Odisha Goods and Service Tax Bill provides provision to levy tax on all inter-state supplies of goods or service except supply of alcoholic liquor for human consumption at a rate to be notified as recommended by the Goods and Service Tax Council.
Talking to leading national daily he said "In 1991 the entire economic regime was changed and no state was consulted".
Seven per cent of the items fall under the exempt list while 14 per cent have been put in the lowest tax bracket of 5 per cent.
A workshop on GST was held for legislators ahead of the two-day special session scheduled to begin on Thursday. The tax rates will be decided in a fashion to keep their impact on inflation and revenues to the government near neutral.
"So, we will bring in some changes and we will try and introduce the GST Bill within 30 days in the state legislature", Drabu said.
"On many commodities there would be reduction because of the cascading effect, but we are banking on the hope that because of a better tax system and less evasion there would be tax buoyancy", he said. Jaitley complimented the JK Finance Minister Dr Haseeb A Drabu and the state government for making outstanding arrangements for the final leg of the GST Council before the law is rolled out on July 1 this year.
Host Jammu and Kashmir expects Rs 1,500 crore to Rs 2,000 crore in tax revenue from implementation of GST and may be the first state in the country to bring real estate within the ambit of GST.