Congress slams Centre over proposal of rate rationalisation under the GST regime

The Congress on Sunday hit out the Centre over a reported proposal of rate rationalisation under the GST regime to bolster revenues, alleging that the government was acting in a "deceitful, dubious and dissembling" manner with the people, especially the middle class. The attack by the Congress came over a media report which said that as part of a proposed rate rationalisation under the Goods and Services Tax (GST) regime to bolster revenues, the GST Council, the governing body for the indirect tax regime, has sought views of states for hiking rates on 143 items.

Of these 143 items, 92 per cent are proposed to be shifted from the 18 per cent tax slab to the top 28 per cent slab, the report said.

Hitting out at the government over the issue, Congress spokesperson Abhishek Manu Singhvi said something like this hits the common man who is crushed and it hits the middle class which is frequently forgotten by everyone.

"Don't forget these are 92 per cent of a large list of 143 items and these items include jaggery, 'pappad', handbags, suitcases, colour TV sets below 32 inches, walnuts, chewing gum, chocolates and custard powder. I do not see any method in the madness. I dont see any logic and rationale to jump these into the highest categories," the Congress leader said.

"You have to see these issues contextually, you are hopefully towards the end of Covid but you are recovering from Covid. You cannot forget Covid... You have hit them (people) left, right and centre with 14.5 per cent WPI (Wholesale Price Inflation), you have hit them with even worse 7.5 per cent retail price inflation. Now you are hitting them in the solar plexus with GST proposal to increase 120-125 items to a 28 per cent GST slab," Singhvi said.