GST alone could do it, says Modi
Narendra Modi, who gives interviews very rarely, has spoken to a magazine about the impact of GST on the occasion of the tax reform completing one year.
"The number of enterprises registered from Independence until now was 66 lakh. In just one year after the introduction of GST, the number of new enterprises registered is 48 lakh. Around 350 crore invoices were processed and 11 crore returns were filed," the Prime Minister told the magazine.
In a message, Finance Minister Arun Jaitley said, "The very small businesses have been protected. Those with turnover of less than Rs.20 lakhs don’t pay GST. Those with a turnover upto Rs.1 crore can compound their GST with a payment of 1% tax on the turnover, and file a quarterly return."
What about Rahul Gandhi's advocacy of a single GST slab across India? Jaitley calls the demand a flawed idea. "A single slab GST can function only in those countries where the entire population has a similar and a higher level of paying capacity. Singapore can charge 7% GST on food and 7% on luxury goods. Will that model work for India?" the FM asks.