Lucknow: Prime Minister Narendra Modi on Tuesday termed the roll-out of the Goods and Services Tax (GST) from July 1 as “historic” and said that the world will witness how political parties of various ideological hues came together to usher in this major reform.
“Roll out of the GST from July 1 will be historic. It will set an example for the world,” the prime minister said.
He was addressing a gathering at the APJ Abdul Kalam Technical University (AKTU) here. Modi said that he was grateful to all those who had contributed towards the formation of a consensus over the tax reform.
“The world will witness a transformation (in India) and how all the political parties of different ideologies united for the implementation of the GST,” he said.
GST, which was originally planned to be implemented from April 1, was deferred by three months.
It will be launched at a grand function in the historic Central Hall of Parliament on the midnight of June 30.
The biggest tax reform since Independence will gradually re-shape India’s business landscape by making the country an easier place to do business in and would bring down barriers between 30 states.
It would unify the USD 2 trillion Indian economy and 1.3 billion people into a single market.
GST over the medium to long term is expected to lead to higher revenues for the Centre and the states while also increasing the size of the economy and having a positive impact on the GDP.
It is also expected to check tax evasion and in the long run due to a rise in number of the assesses.