GST boosted direct tax collection as well: Jaitley

On the occasion of the first anniversary of the GST, Union minister Arun Jaitley said that the indirect tax reform has impacted the direct tax collection as well citing the rise in advance tax for the first quarter of FY19.Advance personal income tax rose 44% for Q1FY19 while advance corporate tax rose 17% for Q1FY19, Jaitley said.Speaking on the occasion through video conferencing, Jaitley thanked the finance ministers of all the states for making every GST Council decision a collective effort achieved through consensus. Jaitley said that the Indian market was fragmented before the implementation of GST and the existing tax structure was clumsy and complicated. The union minister said that the government is in the process of rationalising the tax structure further and is aiming at bringing most of the items in the 28 per cent tax slab to lower tax brackets. Earlier, interim finance minister Piyush Goyal termed the reform as a game changer for the industry and small businesses. He said that the consumer has become aware of what he is paying as indirect tax because of introduction of GST which has brought in transparency and empowered the consumer.He lauded the efforts of all stakeholders for implementing GST in a country of India's size.The implementation of GST has helped in integrating India economically, Goyal said. Dedicating GST to next generation, Goyal said that the youth has rejected corruption and accepted the GST reform. Getting rid of Inspector Raj was a major focus while implementing GST, he added.The Goods and Services Tax (GST) was introduced last year on July 1. The GST regime ended a plethora of indirect taxes and brought the entire nation under a single tax net.

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