Tax tool should push growth
The BJP-led NDA government's hard work for over two years to get India's Constitution amended to introduce a four-tier goods and services tax (GST) from July 1 is now facing new problems at the hands of rules-happy babus in the Central board of excise and customs (CBEC). The framing of rules post-GST gives an impression the universal GST principle is getting diluted. GST in India is not becoming a truly industry-friendly indirect-tax made easy to expand its reach and induce producers, importers and service providers to push economic growth. For long, India used a tax tool — both indirect and direct — that rewarded tax evasion and black economy expansion.