New Delhi: Terming that inflation won't be increased after national introduction of Goods and Services Tax from July 1, Finance Minister Arun Jaitley today said post September 17, the Centre will not be able to collect excise, service tax and States also can't collect VAT.
Speaking at a news channel's summit on GST, Mr Jaitley said, “The inflation will not be risen as the GST will be lesser than the previous tax regime. Instead, it will benefit the people.”
Further, he added that with its implementation no one would be able to evade any tax. It will also benefit the small and medium traders.
“The traders, manufacturers and restaurants with an annual turnover of Rs 20 lakh to Rs 75 lakh can opt for the composition scheme and pay tax at one per cent, two per cent and five per cent, respectively,” the Finance Minister said at the Summit.
Attacking Congress for not taking any reform agenda seriously during their regime, Mr Jaitley said that since 2004 to 2014 no major reforms were initiated.
There is a section of society and policy thinkers who criticise the Centre for nothing happening on ground, the minister said, “Those who think reforms aren't happening must be reading just The Economist magazine.”
On privatisation of public air carrier Air India, he added, “Why should taxpayers money be spent on running on airlines instead of hospital and school.”
