Statement from Mr Chandrajit Banerjee, Director General, Confederation of Indian Industry (CII) on Historic Implementation of GST
CII congratulates the Prime Minister and his Government and of course the GST Council on implementation of the historic Goods and Services Tax (GST) from midnight of June 30, 2017. GST is a paradigm for the world in cooperation, consensus and convergence for an economic reform. The Indian GST is unprecedented in model, scale, and technology adaptation and will impart huge momentum to the economy.
The Hon’ble Prime Minister has led from the front in bringing GST to fruition through his vision of ‘Reform to Transform’. The role of Shri Arun Jaitley, Minister of Finance, Corporate Affairs and Defence, has been exemplary in steering the GST discussion process and ensuring the final outcome. CII deeply appreciates the efforts of all chairmen of the Empowered Committee of State Finance Ministers, the state finance ministers, and all officials of central and state governments involved in the discussion process.
The medium-term impact of GST on macroeconomic indicators is expected to be extremely positive. Inflation will be reduced as cascading of taxes will be eliminated. Tax revenues of the government would go up with expanded tax net, and fiscal deficit would remain under control. Further, exports would emerge as more competitive in global markets, while FDI is likely to be encouraged.
Industry is fully prepared for the rollout of GST.
