Winning Bizness Desk

Mumbai. Karnataka is going to vote for the assembly elections on May 10, 2023 and political parties have thrown themselves into the election campaign. But in this election Goods and Services Tax i.e. GST is also becoming a big issue. In the election campaign in Karnataka, former Congress President Rahul Gandhi announced that if the Congress government is formed at the Centre, then his government will make major changes in the tax rate structure of GST. Rahul said that for the first time tax has been imposed on the farmers. He said that GST has been brought only to benefit the rich. Rahul said that small businesses have been closed due to GST, besides it is so complex that people have not been able to understand it till date. If our government comes to Delhi, we will change the existing GST. Notably, Rahul has been addressing GST in the past in the name of Gabbar Singh Tax.

Came into effect on July 1, 2017

With the aim of One Nation One Tax, it was announced to implement GST in the country with a joint meeting of both the Houses of Parliament at midnight on July 1, 2017. But in the current GST, there are not one but four slabs of tax rate and along with this cess is also imposed on luxury and sin goods. There are four slab rates of GST which include 5%, 12%, 18% and 28%. And cess is also imposed on luxury products and sin goods with 28 percent GST, which includes luxury cars and tobacco cigarettes.

GST increased inflation!

The decision to impose five per cent GST on packaged food from July 18, 2022, on packaged or packaged and labeled flour, curd, paneer, lassi, honey, dry makhana, dry soyabean, peas, wheat and other grains and puffed rice should be implemented. Due to which these things have become expensive. The Modi government has been criticized since this decision of the GST Council, so it is counted among the main reasons for the rise in inflation.At the same time, there has been talk of changing the GST rates for a long time, but till now it has not happened. The Group of Ministers (GoM) formed for rationalization and review of GST rates is in favor of abolishing the 12 percent GST slab rate. The members of the Group of Ministers believe that the items on which 12 per cent GST is charged, their share in the total GST collection is only 8 per cent. In such a situation, 12 percent GST can be abolished.