Uttar Pradesh became the ninth state in the country as its Assembly unanimously adopted the State Goods and Services Tax (GST) Bill on Tuesday. The Bill was introduced in the Assembly on Monday by Chief Minister Yogi Adityanath and he remained in the House for four hours and left only after the Bill was passed. Yogi persuaded the Samajwadi Party to withdraw amendments in the Bill so that a positive message went across the nation that UP was united in implementing the historic Indirect Tax reform legislation. The Samajwadi Party had moved an amendment seeking that the Bill be referred to a select committee of the House which would give its report in a month. leader of Opposition Ram Govind Chaudhary said that he was ready to withdraw the amendment provided Chief Minister gave an assurance that small traders and consumers would not face any hardship under the new tax regime and it would not adversely impact the state’s finances.
Replying to a debate in the House, Yogi Adityanath said, “All non-BJP ruled states have passed the GST Bill. If Samajwadi Party opposes the Bill, then it would send out a different message in the country.” Allaying apprehensions of Opposition parties over the GST Bill, the CM said, “It’s not an issue of a particular party, it includes all political parties of India. After decade long deliberations, the Constitution Amendment Bill was unanimously passed by both Houses of the Parliament in March this year. Assemblies of non- BJP ruled states like Bihar, West Bengal, Telenagna and south Indian states have already passed it.’’
“Criticism of the GST on account of poor computer literacy and training among traders and businessman is without basis. The smartphone has already brought about a silent revolution. Prime Minister Narendra Modi’s focus on `Digital India’ has made huge changes at the brass tacks. There are 45,000 e- suvidha centers in UP and more cyber centers were being opened under `Digital India Scheme’,’’ said Yogi. Tax returns under the GST will be online with no interface of the traders with the babus. The CM said that over 550 computer training programmes enabling traders to file online returns under the GST would be organised across the state. Assuring traders on returns, the CM said, “Its incorrect that each trader will be required to file three returns a month. Instead, only one return is to be filed in three months. The returns can be filed with the help of GST practitioners, Chartered Accountants, lawyers and retired officials of Commercial Tax department or even by the traders themselves.’’
“Confusion prevails over the arrest of traders on detection of tax evasion. In case of tax evasion of over Rs 2 crore, a trader could be arrested only after approval of Commissioner of Commercial Tax and would be released on personal bond,’’ clarifid the CM.
“There is no substance in the apprehension that UP will lose revenue. The GST is a destination-based tax and UP is an importer of goods from other states and hence it stands to gain immensely under the new tax regime. It is a revolutionary step towards “One India, One Tax’,‘’said the CM.
On Centre-state discord, Yogi said, “In the case, the GST Council will look into the matter where the states have two third votes and the Center has only one third.’’
The Parliament passed the `Central Goods and Services Tax Bill, 2017, Integrated Goods and Services Tax Bill, 2017, Union Territory Goods and Services Tax Bill, 2017 and Goods and Services Tax (Compensation to States) Bill, 2017 during the last Budget session in March this year.
The GST is hailed as the single biggest tax reform in India since independence. It subsumes all Indirect Taxes levied by Centre and states and will come into force from July 1. Before the deadline, all 29 Assemblies of India have to pass the GST Bill. So far eight Assemblies have passed their respective state GST Bills.