GST | Traders are scared, people are worried: Manish Sisodia

Terming the GST a good idea with bad implementation, the Aam Aadmi Party on Friday said that the high tax levies under the new regime will encourage tax evasion, which may increase the size of grey market.

“Traders are scared, the common man is scared and you (the central government) want to celebrate,” Delhi Deputy Chief Minister Manish Sisodia said.

He said he did not like the government’s celebrating the launch of the GST, which takes effect from midnight tonight. He refuted claims about the GST leading to economic independence, saying freedom was a different concept while this was merely a transition from one tax system to another.

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Sisodia said if reports about GST software not being tested were true its roll out needs to be deferred else businesses, as well as the government, will have to face serious consequences.

“You can’t marry dates, you have to marry better implementation,” Sisodia said at the Aaj Tak GST conclave here, adding that “GST is a good idea with bad implementation”.

He termed as “unfortunate” the GST Council’s decision to keep alcohol and real estate out of the ambit of new the indirect tax regime which will subsume a dozen of state and central government levies to unify India as a single market.

Sisodia said the 28 per cent levy under the new regime will not increase the tax collected by the government but will only add to price rise and encourage tax evasion.

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