CPI(M) assures reduction of GST for MSMEs

The Communist Party of India (Marxist) is for reduction of Goods and Services Tax (GST) on Micro, Small, and Medium-scale Enterprises (MSMEs) to 5 % and removal of GST for job working units, G. Ramakrishnan, Politburo Member of CPI (M), told presspersons here on Friday.

Pointing out that several MSMEs here were in a critical situation following the implementation of GST, he said that before the GST, the pumpset manufacturers paid 5 % tax, there was no tax on job work, and there was no Excise Duty for units with annual turnover of less than ₹1.5 crore.

With GST, irrespective of the turnover, there was uniform tax.

There should not be tax for job work, the rate should be reduced to 5 % for MSMEs, the GST filing process should be simplified, and priority should be given to MSMEs in government orders, he said.

President of Kovai Power Driven Pumps and. Spares Manufacturers Association K. Maniraj added that in the last two years, the association representatives had approached several State and Central Government ministers and officials on the need to reduce GST rates for job work and for pump manufacturers. “We have given our demand to all the candidates in Coimbatore now. Mr. Ramakrishnan and the CPI(M) candidate P.R. Natarajan spoke to us and assured us that if they win they will take steps to reduce the rate in the first GST Council meeting after the elections,” he said.

Mr. Ramakrishnan added that when there were elections, voters looked at what the existing government had done in the last five years for growth. The BJP had not promoted growth.

There was a growing opinion that people would vote for change. Regarding filing of FIR against DMK president M.K. Stalin here, he said that during election campaigns if there were corruption issues, these were pointed out. The allegations could be opposed and proven wrong. But, cases should not be filed.

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Printable version | Jun 5, 2020 3:51:39 PM |

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