Rahul Gandhi’s one fixed rate for GST – is this his or Pidi’s idea?

Rahul Gandhi could just be the gift that keeps on giving. After giving us multiple lies and sexist jibes during the Gujarat elections campaign, Rahul Gandhi has given us an example of his confused state of mind. Politics seems to be in his shirt, in his pants, but sadly not in his brains.

We all know Gujarat is an industry heavy state. Gujaratis are known to be very good at business. So its natural for any politician to appeal to the business community there, since they are sizeable in number. But Gujarat, like other states, also has farmers, ordinary village folk, who are not economically well off. Thus, pushing the “pro-poor” image also makes sense.

A shrewd politician would try to appeal to both segments, without getting caught in the areas where he may face a conflict of interest, between the interests of the business community, and the interests of the poor people. But Rahul Gandhi is not a shrewd politician.

- Advertisement - - Article resumes -

It was reported by some media houses that Rahul Gandhi, has just declared in his campaign, that come 2019 (when he believes Congress will be in power), there will be only one tax slab for GST: 18%

“We are not happy. We want the ‘Gabbar Singh Tax’ to be abolished and people get one tax slab of GST. We want only one 18 percent tax slab. If BJP does not do it we will do it in 2019,”

The above quote was luckily not factually correct. Seeing the video of the speech from where he made this announcement, it is clear that he had demanded 1 single GST rate, with a cap of 18%, not at 18%. Rahul also tweeted the same from his artificially enhanced twitter account:

While its a welcome relief that Rahul does not want all goods to be taxed at 18%, one single rate for all goods, whatever it may be, could still be a problem.

A single rate of GST is great for businessmen. No need to keep track of multiple goods and services, multiple rates and subsequent changes etc. But Rahul Gandhi probably has not realised the full impact of this step. Out of approximately 1400 items, nearly 52% of the items are taxed at 12% GST or less:

This number will only increase after we factor in the latest massive changes in the rate structure. Most of the items in this list are essential commodities like articles of food, clothing, medicines etc. If Rahul Gandhi’s mystery proposed single GST Rate is above 12%, does the anti-suit-boot-ki-sarkar, the pro-poor Rahul Gandhi want to to tax all essential items currently enjoying rates between 0% to 12%, at a higher rate? Has he just promised the Indian populace that he will increase the taxation on more than 50% of the goods in India? If the rate is below 12%, it certainly cannot go below 5%, thus he still increases the taxation on a substantial number of goods.

If the rate is too low, i.e. below 12%, all the luxury items, the sin goods, will also be taxed at this single mystery rate. Cigarettes, luxury cars, tobacco products, aerated beverages, all will be taxed much lower, seeing a massive drop from the current rates which are in excess of 28% GST (after including compensation cess). Is this what the knight in torn clothes supposed to do?

If Rahul Gandhi is allowed to execute his plan Moong Dal will be taxed at the same rate as a Mercedes car. Chana Dal at the same rate as Cigarettes. His favourite Alu will be taxed at the same rate as Aerated drinks. It will most certainly be a rate increase for Moong Dal, Chana Dal and Alu, but a massive drop for rate on luxury cars, cigarettes and aerated drinks.

If BJP wants to win Gujarat 2017, Lok Sabha 2019, or practically any elections in India for the foreseeable future, they just need to keep reminding people that Rahul Gandhi has sworn to increase the tax rates on over 50% of the goods in India, and to tax essential goods on par with luxuries. Rahul on the other hand needs to speak less probably.

Just as this report was about to be published, Rahul Gandhi’s Twitter handle, which he had famously said was being operated by his pet dog Pidi, repeated that there should be just one fixed rate for GST, with special emphasis on “one rate”:

Is this really his idea or Pidi’s?

Share and Support:
Support OpIndia by paying for content

Most read articles recently

Madhya Pradesh, Chhattisgarh, Rajasthan, Telangana, Mizoram assembly election results

Latest updates and breaking news on counting day: EC declares 3 wins in Madhya Pradesh, all 3 go to BJP

Latest news and updates from 2018 assembly election results of Madhya Pradesh, Chhattisgarh, Rajasthan, Telangana, and Mizoram.

Here is why BJP lost elections, and of course, it was deliberate

What BJP supporters need to realise is this - no political party ever wants to lose and least of all, a party led by the two most politically aggressive politicians the country has ever seen.

Statue of all ironies: Pritish Nandy uses example of fake news to spread fake news

Pritish Nandy shared a fake image which was earlier shared by Youth Congress leader

Prashant Bhushan and left-liberal cabal was actively helping Vijay Mallya in UK court by attacking CBI special director Rakesh Asthana

Vijay Mallya's defence team was using Indian left-liberals' allegations agaist Rakesh Asthana in London court

Fact check: Did BJP President Amit Shah and PM Modi call Baniyas cheaters and accuse them of profiteering?

Earlier, Gujarat Chief Minister Vijay Rupani had also been accused of making a casteist remark, which turned out to be a Photoshopped image

After stopping BJP’s rath yatra, West Bengal government allows Hindu-hater Bangladeshi Maulana to address meetings in the state

BJP's rath yatra banned, Bangladeshi Islamic preacher welcomed in West Bengal
Image Source: Zee News

Sidhu knew of the opening before Imran Khan was sworn in, Kartarpur a bigger conspiracy by ISI: Captain Amarinder Singh

Pakistan General Bajwa had revealed the Kartarpur corridor news to Navjot Singh Sidhu even before Imran Khan was sworn in as their PM, Punjab CM Singh indicated “a bigger conspiracy" hatched by the Pak Army.
Vijay Mallya to be extradited

Big victory for India: UK court orders Vijay Mallya’s extradition who is wanted in India for a Rs. 9000 crore scam

The liquor baron, Vijay Mallya, is wanted in India in connection with an alleged scam worth Rs. 9000 crores and is to be extradited to India.

Can the BJP satisfy its online supporters? If only it were Congress

BJP supporters online, also known as the ‘right wing’, are first to attack the party and write it off after electoral setbacks.

When ‘anti-corruption crusader’ met the ‘Raja’ of 2G spectrum scam

Kejriwal, who till now has been religiously snubbed by Congress and its allies, is expected to participate in the meeting for the first time.

Latest articles

Connect with us

125,528FansLike
97,349FollowersFollow
6,058SubscribersSubscribe

Don't miss these