Modi reviews GST preparation

Nearly sealing the goods and services tax (GST) implementation from July 1, Prime Minister Narendra Modi (pictured) reviewed the preparedness, asking that high attention be given to cyber security in the enabling information technology (IT) systems. The main problem now is that seven states — the other 22 have done it — are yet to pass their respective state GST legislations, with less than a month for the scheduled date of the tax's introduction. These are West Bengal, Meghalaya, Punjab, Tamil Nadu, Kerala, Karnataka, Jammu & Kashmir and West Bengal. All, except J&K, are ruled by opposition parties.

J&K also has a different dispensation. Its legislative assembly will have to also pass a Bill stating that both the Central GST and Integrated GST applies there. And, pass its own state GST, like the others. Statutorily, if GST is not introduced by a state as of September 16, it will not be able to impose indirect taxes.

The PM took the meeting amid the stiff opposition raised by West Bengal over the IT preparedness for roll-out next month. Bengal finance minister Amit Mitra has sought deferment of GST by two months, to September 1.

Modi took a meeting for two and a half hours. Various aspects of implementation were presented and reviewed -- IT readiness, personnel readiness, training and sensitisation of officers, query handling mechanisms and monitoring. Finance Minister Arun Jaitley, the cabinet secretary and other senior officials were present.