Lok Sabha to take up GST Bill for discussion today

New Delhi: The Goods and Services Tax or GST has been listed for consideration and passage in Lok Sabha on Monday.

Finance Minister Arun Jaitley
Finance Minister Arun Jaitley

The Congress party and some of it allies had last week walked out of the Lok Sabha as Speaker Sumitra Mahajan overruled their request to send the bill to the parliament committee for further discussion.

Investors and manufacturers have long advocated the GST as a way to simplify taxes while broadening the tax base, adding as much as two percentage points to economic growth in Asia’s third-largest economy.

Union Finance Minister, Arun Jaitley, said the GST would streamline taxation system in the country which would further boost economic activities.

However, the measure has been delayed for years due to a lack of political consensus. Some of the states were reluctant to give their assent for fear of revenue losses.

Jaitley brokered a compromise, offering to compensate the states for any loss of revenues following the implementation of the GST.

The government aims to bring the tax into effect from April 1, 2016.