At the moment, there are many rumors regarding India’s biggest reform, GST Bill. As per the sources, the Goods and Services Tax (GST) rate may be reduced from 18 percent. If the GST rate is less than 18 percent then there is a good chance that it will be emerged to roll-out the GST Bill in the Winter Session of Parliament and the opposition parties also want to reduce the GST rate. Therefore, they won’t have any reason to delay it further more.
Read Also: GST Bill Could Miss Out its April 2016 Deadline Due to Five Reasons
The new proposal of GST rate will be presented by the Chief Economic Adviser, Mr. Arvind Subramanian to the Finiance Minister Mr. Arun Jaitley. Earlier, the GST rate was fixed between the range of 18-20 percent. The GST panel has only an authority to define the GST rate. The rates wouldn’t be too high for the industry therefore, states will not have to face the problem of revenue losses.
According the chief sources, the Indian government may consider on its 1 percent manufacturing tax to ensure the low GST rate. The Managing Partner at ELP, Rohan Shah said, the GST rate of 18 percent or less would force opposition parties to roll-out the vital reform.
