Biz can’t provide excuses

New Delhi, June 20: The government will not blink on rolling out the GST from July 1, finance minister Arun Jaitley said on Tuesday, emphasising that businesses cannot give any excuse for not being ready as enough time was given to them for preparation.

However, implementation of the GST, which will unify more than a dozen separate levies to create a single market, may result in “some disruption” and “technological glitches” initially as traders and the smallest of businesses will have to file returns online, he added.

GST, which was originally planned to be implemented from April 1 but was deferred by three months, will be launched at a grand function in the historic Central Hall of Parliament on the midnight of June 30.

The biggest tax reform since independence, which will re-shape India’s business landscape by making it an easier place to do business in, would bring down barriers between 30 states and unifying the $2 trillion economy and 1.3 billion people into a single market.

Mr Jaitley said GST over the medium to long term will lead to higher revenues to Centre and states while also increasing the size of the economy and having a positive impact on the GDP.

“We should be prepared that when the switchover will take place. In the short-term, there will be some challenges,” he said. “The reform step is for betterment. All reforms initially are seen as disruptive, and in the long run are seen as result yielding reform.”

Mr Jaitley said the process of registration of existing central excise, service tax and state VAT payers in the new system was “going on well”.

“It is not a very complicated process,” he said adding GST will check tax evasion and in the long run lead to rise in number of the assessees.

As many as 65 lakh assesses have already registered and more are expected to sign up. “65 lakh who have registered they did not face problem, the five who have faced problems are on Twitter,” he quipped.

— PTI

The reform step is for betterment. All reforms initially are seen as disruptive, and in the long run are seen as result yielding reform

— ARUN JAITLEY, Finance minister

— PTI Union finance minister Arun Jaitley with Minister for parliamentary affairs Ananth Kumar addresses the media regarding GST in New Delhi on Tuesday.