Policy

‘Export sops may go, post GST implementation’

Our Bureau Kolkata | Updated on January 17, 2018 Published on August 21, 2016

Rita

Some exemptions and incentives given for promoting exports may be done away with once the Goods and Services Tax (GST) comes into effect, Union Commerce Secretary, Rita A Teaotia, said here on Saturday.

The Commerce Secretary was speaking to the exporters community at a joint session organised by EEPC, FIEO, GJEPC, Bengal Chamber of Commerce and Industry and Assocham.

According to her, exemptions and incentives and GST do not go hand-in- hand with one another. It was a basic contradiction.

“Exemptions and incentives those are the things that should go away. For when you are creating a level playing field you are not creating more complications giving scope for arbitrage. As a philosophy we are moving away. We cannot have the GST and more and more incentives and exemptions. It won’t happen. It is a contradiction,” Teaotia said.

GST aims at a minimum duplication of levies, charges and so on. In a fragmented system, there are cascading taxes. But GST aims at creating a level playing field, she reiterated.

Asked to specify the probable exemptions that can be done away with once GST comes into effect, the Commerce Secretarty said: “I am not going to go down that road. We are also not a department (the commerce department) which is framing that law. We are actually giving our inputs.”

Published on August 21, 2016
This article is closed for comments.
Please Email the Editor