In a recent budget speech, finance minister Arun Jaitley called for an end to the ongoing GST debate, adding that he hopes to have GST legislation finalized by the end of this year.
GST was originally supposed to be implemented in April 2010 but it was stalled due to disagreements between the states and Central government. This time around things may be different; Jaitley has assured the states that the Central government will be “more than fair” in addressing their concerns.
If implemented, GST would replace a slew of current indirect taxes, including value added tax, central sales tax, central excise tax, and a number of local taxes.
A full copy of the 2014-2015 budget speech can be found on the India Finance Ministry’s website:
Thomson Reuters will continue to track this situation and provide updates as necessary.