PM gifts new projects to electionbound Gujarat
POLITICAL TUG OF WAR Clearing stuck files, says Modi; Oppn questions timing
AHMEDABAD/NEW DELHI: Prime Minister Narendra Modi vowed on Sunday to continue his economic reforms and asserted that the Indian economy is on the right track, defending his government’s major steps such as the demonetisation drive, and the goods and services tax.
His remarks are aimed at deflecting the Opposition’s flak after the economy decelerated to a three-year low of 5.7% in the quarter ended September.
“After all the reforms and hardcore decisions, the economy of the country is on track and is going in the right direction,” Modi said at a rally in Dahej, one of the three places he visited in Gujarat, his home state where assembly polls are due this winter.
Modi’s assurance couldn’t cut ice with his rivals, though. As many as 13 opposition parties will meet on Monday to sharpen their strategy for a renewed attack on the government over the economy.
“GST is fast becoming ‘Grossly Scary Tax’ under Modi Govt as 40 lakh assesses fail to file September returns,” tweeted Randeep Surjewala, the Congress’s chief spokesperson.
The parties, led by the Congress, plan protests on November 8 when Modi’s decision to scrap two high-value banknotes in a shock recall completes a year. Programmes are likely to be held to highlight what they called the demonetisation aftershocks.
The opposition parties also accused the government of persuading the Election Commission to delay declaring the poll schedule for Gujarat and help the ruling BJP dole out sops to voters.
Modi, who was Gujarat chief minister since 2001 till he became Prime Minister in 2014, announced a slew of projects for his state on Sunday.
He inaugurated or laid the foundation for projects worth more than ₹1,600 crore. NEWDELHI: Policymakers are considering steps to ease the compliance burden related to the goods and services tax (GST) on small businesses and to make product classification for taxation less complicated, said revenue secretary Hasmukh Adhia.
The simplification process may result in some readjustment of tax rates, including a possible reduction in some items that attract the highest tax slab of 28%.
Products are now classified into various subcategories—in many cases, different subcategories fall in different tax slabs— under a code called the harmonized system of nomenclature (HSN) that existed before GST was implemented on July 1. Such a detailed classification is hard to follow for small and medium enterprises (SMES).
Addressing concerns of SMES and harmonization of items for better tax compliance is on the agenda, Adhia said in an interview.
News agency PTI reported on Sunday that the government is considering easing the compliance burden on SMES. “There is a need for harmonization of items chapter-wise and wherever we find there is a big burden on small and medium businesses and on the common man, if we bring them down, there will be better compliance,” the report cited Adhia as saying.
The flood of promises from Modi in Gujarat, due to EC’S relief by not announcing the polls. Whither ‘One election?’ SITARAM YECHURY, general secretary, CPM , on Twitter