Sunday, June 13, 2021
Home News Reports Rahul Gandhi's one fixed rate for GST - is this his or Pidi's idea?

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.

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?

  Support Us  

Whether NDTV or 'The Wire', they never have to worry about funds. In name of saving democracy, they get money from various sources. We need your support to fight them. Please contribute whatever you can afford

OpIndia Staff
Staff reporter at OpIndia

Related Articles

Trending now

Wikipedia dismisses Love Jihad as a conspiracy theory by Hindus, but claims reverse Love Jihad against Muslims is real

Wikipedia labels Love Jihad as a fabricated notion even as thousands of non-Muslim girls continue to be afflicted by the menace

‘Corona Mata’ Temple in UP marks a continuing Hindu tradition of worshipping Goddesses for protection against diseases: All you need to know

ANI reported on Saturday that a 'Corona Mata' Temple has been established at Pratapgarh district in Uttar Pradesh.

Chinese spy arrested in Malda confesses to smuggling 1300 Indian Sim cards to China, used for hacking and financial fraud

The Chinese spy was arrested by the BSF when he was trying to enter the country through the Indo-Bangla border in Malda district on Thursday

Why so-called ‘fact-checkers’ are a greater evil than random misinformation that they claim to fight

In his speech, the PM also took veiled jibes at a few CMs as well as loudmouthed opposition politicians with no skin in the game.

How propaganda media and cartoonist Manjul are milking a Twitter email to the hilt

Anti-BJP cartoonist Manjul took to Twitter to insinuate that the Modi government has been trying to silence his freedom of expression.

Leaked Clubhouse chats: Here is what senior Congress leader Digvijay Singh promised to a Pakistan-origin journalist about Kashmir

During conversation with a Pakistani-origin journalist on Clubhouse app, Congress leader Digvijay Singh promised to reinstate Article 370

Recently Popular

Leaked Clubhouse chats: Here is what senior Congress leader Digvijay Singh promised to a Pakistan-origin journalist about Kashmir

During conversation with a Pakistani-origin journalist on Clubhouse app, Congress leader Digvijay Singh promised to reinstate Article 370

‘Decline is on’: Pakistanis furious after Saudi Arabia eases ‘guardianship rules’ for women

Saudi Arabia has allowed single, widowed, and divorced women to stay independently without the prior approval of male guardian

‘Scientists were threatened Anthony Fauci and his gang will destroy careers and reputation’: Indian experts make explosive claims after emails become public

Anthony Fauci has found himself in the eye of the storm after thousands of his emails were revealed to the world.

India not to allow return of four Kerala-based women who had joined Islamic State, at least 3 of them are converts: Details

Indian Govt is unlikely to allow four women from Kerala who had left to join Islamic State in Khorasan Province (ISKP).

Honour killing of Pakistani girl in Italy: Victim’s cousin arrested in France, parents who fled to Pakistan and two other missing accused wanted by...

Ikram Ijaz, one of victim Saman Abbas’ cousins, was arrested in Nimes in France and was later handed over to Italy

Temple vandalised, journalist attacked: Communal violence grips Tiljala, Kolkata, BJP leaders, Bengal Governor share details

BJP worker, Devdutta Maji, informed that a Shani Kali temple was vandalised by Islamists in broad daylight in Tiljala on Tuesday.
- Advertisement -


Connect with us