Assocham opposes cess in GST

By | November 2, 2016
(Last Updated On: November 2, 2016)

Assocham opposes cess in GST

Health activists today said the proposed 2 6 per cent sin rate on tobacco will negatively impact revenue and public health and the tax rate on tobacco products should not be below 4 0 per cent.

India has the second largest number of tobacco users (2 7 5 million or 3 5 pc of all adults in India) in the world. Of these at least a million die annually from tobacco-related diseases and tobacco-use imposes enormous health and economic costs on the country .

In a statement today , several health activists said: ” There is an over arching consensus that harmful goods be categorised as sin goods and taxed at the highest rate under GST as recommended in the Chief Economic Adviser report which seeks a 4 0% GST sin rate on all tobacco products, including cigarettes, ‘bidis’ and chewing tobacco. The GST council meeting that concluded on October 20 proposed a much lower 2 6 % GST sin rate, which would have significant impact on the revenue as well as the health of our nation , both of which require serious consideration .”

Among those supporting higher tax on tobacco are Rijo John , assistant professor at IIT Jodhpur , Pankaj Chaturvedi, on cologist at Tata Memorial Hospital, Mumbai, Bhavn a Mukhopadhyay of the Voluntary Health Association of India , Ashim Sanyal, COO of Consumer VOICE, an anti-tobacco campaigning NGO, among others.  Source – http://www.tribuneindia.com[02-11-2016]

Category: GST

About CA Satbir Singh

Chartered Accountant having 12+ years of Experience in Taxation , Finance and GST related matters and can be reached at Email : Taxheal@gmail.com

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