JMM, Cong question GST reform claims, call for simpler, fairer system

Ranchi: Reactions from opposition parties in Jharkhand followed Prime Minister Narendra Modi’s Independence Day announcement on upcoming reforms to the Goods and Services Tax (GST) structure. The Centre has sent a draft proposal to state governments outlining potential changes, including reduced GST rates on small cars and low-cc motorcycles, aimed at easing costs for consumers. However, there will be no change in the rates applied to gold, silver, or diamonds.

According to sources, the Finance Ministry has been working on this revised GST structure for the past two and a half years. The government's stated intent is to develop a tax framework that is not only simplified but also prevents tax evasion and fraud. The proposal has been sent to the Council of Ministers, and the GST Council will make the final decision.

Jharkhand Mukti Morcha (JMM) spokesperson Tanuj Khatri dismissed the potential benefits, saying that while the central government claims the reforms will boost consumer purchasing power and benefit businesses, the reality is different. "The Centre has already emptied people’s pockets. How can consumers benefit when they no longer have the money to spend?" he asked.

Congress spokesperson Kishore Dev Shahdeo echoed skepticism. He reiterated the party's longstanding criticism of GST, famously branding it "Gabbar Singh Tax," and argued that the current tax model remains overly complicated despite repeated amendments. "The BJP government has amended its own GST framework over 80 times, yet flaws remain. Any future reform must make the system genuinely simpler and accessible," he said.

Shahdeo emphasized that no tax system should place unnecessary burdens on businesses or the public and insisted that proper deliberation must precede implementation. "Rules made in haste often lead to confusion and trouble. GST has already seen frequent changes, which only adds to people’s frustration," he added. He also stressed the need for tougher measures against fake companies exploiting the GST system for tax evasion.

Both parties indicated they will present detailed positions during the upcoming GST Council meeting.