GST is turning point for our economy: Narendra Modi

Prime Minister Narendra Modi has termed GST as the turning point for the India’s economy.

Modi believes that GST implementation is the culmination of the concerted attempts from everyone, right from industry bodies to political parties.

He directed officials to put special emphasis on cyber-security in IT systems as it plays quite a pivotal role in GST.

Narendra Modi organized a meeting in this regard which was also attended by Finance Minister Arun Jaitley.

The GST Council has already given final touches to tax rates on almost all goods and services.

All goods and services have been put in slabs of 5, 12, 18 and 28 percent.

Items such as salt, milk, gur, egg, curd, unpacked foodgrain and paneer, fresh vegetables, unbranded atta, maida, besan, honey, besides education and health services, have all been exempted from GST.

 

The single-biggest taxation reform since 1947,  the GST will subsume 16 different taxes, including excise, service tax and VAT.

This will make India a single market for seamless movement of goods and services.

Indications are that it will enhance GDP by 1-2 percent and bring down inflation by 2 percent.