Kolkata: Union Finance Minister Nirmala Sitharaman, who was in the city on Sunday, pitched for rationalisation of GST rates once a year and not in every three months which has been the trend so far. She further made it clear that (GST) will be applied on petroleum products once the states and the GST Council together agree to bring the products under the ambit of GST.
"I think we have laid the foundation for increasing consumption, ensuring that Capex (capital expenditure) and government's investments will go towards spending on building of assets in infrastructure which should have cascading effects both in the short term and in the long term," Sitharaman said at a press conference in the city after a day-long engaging discussion in two sessions- first with the trade and industry bodies and the next one with professionals and chartered accountants about the budget that was announced on February 1.
She claimed that the government's steps are aimed at building infrastructure leading to a USD 5 trillion economy by 2024-25.
"Former Union Finance minister Arun Jaitley had the foresight to make a provision in the GST when it comes to petroleum products, but with a zero rate. It is up to the state and the GST Council, to take the call when they want it. As and when the GST Council takes the call and has a rate decided, it would be added (on the products). Whenever the states would be ready to bring in petroleum under the GST, another amendment won't be required," she said in response to a poser.
Currently, the Centre charge excise duty and the value-added tax (VAT) is levied by states in petroleum products. The industry captains have repeatedly pressed the government for bringing petro products under GST but states have not been eager as they heavily on VAT for their own revenue.
She refused to comment on a question about what Bengal gained from the budget and said that she had examined the point of macroeconomic stability, building assets in the country, money directly reaching individuals because of reduced tax rates and so on while preparing the budget.
"I do not know how I should answer this question of kisko keya mila (which state gets what)," she maintained.