Cabinet clears 4 Bills, GST likely to roll out by July 1

THE UNION Cabinet chaired by Prime Minister Narendra Modi on Monday approved four bills related to Goods and Services Tax (GST), paving the way for the introduction and eventual passage of these draft laws by Parliament.

The Central GST Bill, the Integrated GST Bill, the Union Territory GST Bill and the GST (Compensation to the States) Bill, which were cleared, are expected to be introduced in Parliament this week.

“With the Cabinet approval of these four bills, the GST regime in India is in the final stages of culmination and the GST law will most likely be implemented from July 1, 2017. The above four Bills have been earlier approved by the GST Council after thorough, clause by clause, discussion over 12 meetings of the Council held in the last six months,” the finance ministry said in a statement after Cabinet clearance.

“It is expected that the implementation of the Goods and Services Tax law will lead to an increase in Gross Domestic Product (GDP) of the country by 1-2%. This in turn will lead to the creation of more employment and increase in productivity,” it said.

The CGST Bill makes provisions for levy and collection of tax on intra-state supply of goods or services or both by the central government. The IGST Bill makes provisions for levy and collection of tax on interstate supply of goods or services or both by the central government. The UTGST Bill makes