'Why should the poor not aspire?' Cong's 10 points on Nirmala Sitharaman's explanation of GST
On 5% GST on pre-packaged dahi, curd, lassi, the Congress said the Modi government is penalising aspiration and a desire to buy more hygienically packed goods.
The Congress on Wednesday criticised Finance minister Nirmala Sitharaman's defence of the GST on daily use items and calling it 'laboured', the party said that it was not a unanimous decision. Congress spokesperson Jairam Ramesh issued a statement highlighting 10 points in reply to Nirmala Sitharaman's explanation given on Tuesday. Also Read: New GST rates today onwards. Check what's costlier, what's cheaper here
As the Centre is facing criticism for 5% GST on daily use items like wheat flour, cereals, curd, pulses and lassi, the finance minister said these items will attract 5% GST only when they are pre-packed and pre-labelled. If sold loose, they will not attract any GST. The minister said all states including the non-BJP states agreed with the decision.
Countering the claim, Congress leader Jairam Ramesh said that it was not unanimous and West Bengal minister claimed to have opposed the move at the meeting. It was a virtual meeting and the finance ministers of the states did not meet face to face and consult, the Congress leader said.
"Why should not the poorer consumers aspire to buy pre-packaged and labelledGST goods? The Modi Government is penalising aspiration and a desire to buy more hygienically packed goods," the Congress said.
"Go through the list. The GST on crematoriums has been increased to 18%!" Jairam Ramesh added.
"Assume there are some input taxes in pre-packaged goods. Was there a demand from producers and sellers to impose a GST on pre-packaged and labeled goods? Not to our knowledge," he said asking why small businesses, shopkeepers and consumers are complaining about the revised GST rates.
"Above all, the timing. It is cruel to raise tax rates when CPI inflation is over 7%, WPI inflation is over 15%, unemployment is high, the rupee is depreciating, the current account deficit is widening and inflation is expected to rise world-wide," he said.