Former finance minister P. Chidambaram on Sunday said the present GST bill is “flawed” and the government could get the legislation passed by addressing the concerns of the Congress party.
He said the cap on GST rate can be provided in the Constitution Amendment Bill through “skilful drafting” and for that the government should talk to the opposition.
“Agree with FM. A delayed GST is better than a flawed one. Present GST Bill is flawed,” Mr. Chidambaram tweeted.
Speaking at the annual general meeting of FICCI last week, Finance Minister Arun Jaitley had said “a delayed GST is better than a flawed GST.”
Read: >Opposition agrees to clear six Bills as GST is out of way
Mr. Chidambaram suggested to “scrap” the one per cent addition tax on inter-state movement of goods.
“One percent tax is anyway dead. Scrap the provision. Meet Congress’ three weighty objections and the bill could be passed,” he tweeted.
The Congress has been opposing the present Constitution Amendment Bill on Goods and Services Tax (GST) on three grounds.
They want the GST rate to be prescribed in the bill, to which the government says tax rates cannot be ‘cast in stone.’
Mr. Chidambaram said: “Rate cap can be provided in the Bill through skilful drafting. Talk to opposition”.
The Congress has also been demanding for Supreme Court adjudicating disputes between states.
“No state is opposed to independent dispute resolution mechanism. Set it up,” Mr. Chidambaram tweeted.
