GST Reforms Are in the National and Consumer Interest: Jai Ram Thakur

Opposition leader Jai Ram Thakur today said it is incorrect to assume that the Goods and Services Tax (GST) reforms approved by the GST Council would hurt the revenues of smaller states, stressing that the changes are in the broader interest of both the nation and consumers.

Addressing the media, Thakur described the reforms announced on September 3 as historic, noting that they would strengthen the economy and their impact would become evident in the coming days.

“GST reforms will benefit every state government. It is wrong to suggest that smaller states will lose out, because each state will receive revenue according to GST collections,” he said. He added that all states have been compensated appropriately and reiterated that the reforms serve the wider national interest.

Thakur asserted that once the reforms take effect from September 22, every section of society—consumers, industrialists, and even the poor—would stand to benefit.

He pointed out that many life-saving drugs have now been exempted from GST. “Most items previously in the 18% tax slab have been brought down to the 5% category. This reform will have a far-reaching impact, leading to a significant reduction in the prices of most goods,” he said.

The former Chief Minister also highlighted that GST on products like cement, televisions, dishwashers, and air conditioners has been reduced from 28% to 18%. He recalled that Prime Minister Narendra Modi had announced reforms to the GST system on August 15, followed by the GST Council’s 56th meeting on September 3, which finalized important decisions, including changes to tax slabs.