Lok Sabha approves four supporting GST Bills

The Lok Sabha on Wednesday approved all the four supporting Goods and Service Tax (GST) Bills. These bills include the Central GST bill, the Integrated GST Bill, the Union Territory GST Bill, and the GST (Compensation to States) Bill. This takes the GST bill one step more to becoming a reality in India.

The parliament also approved GST Bill related to compensation, according to a Bloomberg report. It also looks at July 1 as the possible roll out for the Bill.

After Finance Minister Arun Jaitley debated on the four bills related to the GST Bills in the Lok Sabha, the 250-odd clauses in the bills was voted on one by one.

On Monday, four bills were introduced in the lower house of Parliament. The bills introduced were the Central GST Bill, the Integrated GST Bill, the Union Territory GST Bill, and the GST (Compensation to States) Bill, providing for a maximum GST rate of 40%, an anti-profiteering authority and imprisonment for evading taxes.

The CGST Bill will enable levy and collection of tax on intra-state supply of goods and services or both by the central government, the Integrated Goods and Services Tax Bill, 2017, which provides for the levy and collection of tax on inter-state supply.

The Goods and Services Tax (Compensation to States) provides for compensation to the states for the loss of revenue arising on account of implementation of the GST.

The Union Territory Goods and Services Tax Bill, 2017, will enable levy and collection of tax on intra-state supply of goods and services or both by the union territories.