HOW IT PANNED OUT

Last week, the Lok Sabha passed four crucial Bills to introduce a country-wide GST, which would take India closer to being a one unified market. GST will create a common national market by replacing a string of central and local taxes such as excise, value-added tax, octroi, and service tax into a single unified levy. Here’s a look back at how GST took shape over 11 years, three governments, and three finance ministers championing the cause

1993

Taxexpert RAJA J

CHELLIAH suggests a study of central excise duties AMARESH BAGCHI, then director, National Institute of Public Finance & Policy. He does not suggest G ST, but only uniform state taxes

1999

Are solution adopted in the conference of chief ministers under the chairmanship of then West Ben gal finance ministerASIM

DASGUPTA on state-level VAT

2000

The Empowered Committee of State Finance Ministers setup

2004

TheCommitteewas registered under Societies Registration Act

Asim Dasgupta made chairman of the Committee

2005

Then finance minister P CHIDAMBARAM releases a white paper on state-level VAT. VAT introduced by most states, but states such asUtt ar Pradesh, Odisha did not join in the beginning

2006

FEBRUARY Then FM P Chidambaram Proposes GST in Budget Speech. Sets April 1, 2010 as deadline

2007

FEBRUARY Chidambaram says Empowered Committeetowork with Centre to implement GST by the deadline MAY Joint working group(JWG) setupwith PARTHASARATHI S HOME, then advisor to FM,andempowered committee of state finance ministers chairman SatishChandraas convenors NOVEMBER JWG submits report

2009

NOVEMBER Empowered committee submits first discussion paperonGST DECEMBER Task Force Appointed by 13th Finance Commission, headed by VIJAY

KELKAR, submits report on GST

2010

APRIL First deadline to introduce GST missed

2011

MARCH Constitution (Amendment) Bill introduced in LS for implementation of GST Asim Dasgupta resigns from the Empowered Committee of state FMs, following his defeat in polls to the West Bengal assembly JULY Then Bi ha rF M and deputy CM SUSHIL MODI appointed chairman of the Committee AUGUST Parliament's Standing Committee on Finance submits report on the Bill

2013

JUNE Sushil Modi resigns from the Empowered Committee, following a break-up of BJP-JD (U) alliance in Bihar

JULY ThenJ&KFM ABDUL

RAHIMRather appointed chairman of the Committee

2014

MAY Bill lapses with dissolution of the 15th LS DECEMBER Constitution (amendment) Bill introduced in LS. Abdul Ra him Rather re signs as chairman of the Empowered Committee following his defeat in polls to J& K assembly

2014

MAY ¾ Lok Sabha Passes the Bill ¾ Bill tabled in RS, referred toselectpanel JULY ¾Select panel report tabled in RS, recommends dilution of additional one percent tax on inter-state movementofgoods. Congress, AI AD MK and CPI (M) submit dissent note.

2015

¾Cabinet clears revised Bill. Government continues negotiations with the Congress to bring itonboard NOVEMBER Mani resigns from the Empowered Committee following allegations of corruption in his home state Kerala DECEMBER Panel, headed by chief economic adviser ARVIND SUBRAMANIAN, submits report on GST, recommends standard rate of 17-18%

2016

FEBRUARY WestBengalFM AMIT

MITRA named chairman of the Committee AUGUST Parliament passes 122 nd Constitutional Amendment Bill for G ST OCTOBER 18, GST Council decides on compensation formula forstates NOVEMBER 3, G ST Council agree son a 4-slab structure — 5, 12, 18,and28percent— along with acess on luxury and sin goods DECEMBER 23, Agreement on two laws in GST Council meeting, but dual control remains a thorny issue

2017

JANUARY Roll-out date pushed to July 1, but agreement on thorny issues of ‘dual control’ and taxing rights on goods moved via sea FEBRUARY GST Council finalises draft Compensation Bill MARCH Lo kS ab ha passes four G ST Bills, Council approves five rules. Next meet on May 18-19 to decide specific rates and approve four rules