The Goods and Services (GST) Bill will be taken up by Lok Sabha on Monday.
The GST, the biggest economic reform since 1991, is likely to sail through smoothly in the Lower House.
The GST Bill will replace a raft of different state and local taxes with a single unified value added tax system. This will in effect turn the country into the world’s biggest single market. Prime Minister Narendra Modi is likely to intervene during the debate on the Bill in Lok Sabha.
The Bill was passed by Lok Sabha last year. It now has to go back to the Lower House to incorporate amendments approved by the Rajya Sabha.
The GST Bill has to be ratified by at least 15 states in 30 days after it is passed by the Parliament.
Corrections & Clarifications:
In the previous version of this article, “The GST Bill has to be ratified by at least 16 States in 30 days after it is passed by the Parliament,” said the last paragraph. This is not correct. Article 368 prescribes no such time limit. Also, it should have been 15 – not 16 States – that need to ratify an amendment.
