Govt optimistic as Congress supports GST in principle

New Delhi: The government on Saturday expressed confidence over the ending of the impasse over the Goods and Service Tax (GST) Bill and said that the meeting between Prime Minister Narendra Modi and the Congress top brass had been a positive one, indicating that the bill could be thrashed out in the next round of discussions in the Parliament.

“The Prime Minister himself rung up Sonia ji and Manmohan ji requesting them to come over for a discussion on various issues regarding the Parliament and to seek their cooperation. It was a good meeting, I was present there myself and there had been a free exchange of views on all matters. The discussion was more on the GST Bill which was initially brought by the UPA Government,” Union Parliamentary Affairs Minister M. Venkaiah Naidu told ANI here.

Taking about the current status of the landmark bill, Naidu added that Finance Minister Arun Jaitley has held extensive consultations with various states and that the bill has been referred to the select committee and they have made their recommendations.

“Jaitley explained yesterday (Friday) the salient features of the Bill and Sonia ji raised three issues. He explained the government’s position and she said she will discuss it with her colleagues and come back for another discussion. She said it was their bill so there was no question of not supporting it,” Naidu added.

The Union Minister stressed that it was a positive beginning and expressed his optimism that in the next round of discussions, they will be able to thrash out the differences and take the bill before the Parliament.

“Jaitley and I have been in constant touch with Congress leaders in both houses of Parliament over this matter. India is very keen that the GST, which is a revolutionary, taxation, transformation in the country, should be passed. Even students in Bangalore asked Rahul Gandhi that why this Bill was being blocked. Thirty out of 32 parties have said they want the GST to be passed and I am confident now about its outcome,” Naidu added.

In a move intended to break the deadlock over the bill, the Prime Minister had yesterday invited Congress president Sonia Gandhi and his predecessor Manmohan Singh over tea, highlighting the need for consensual approach in the smooth functioning of the Parliament.

However, Congress vice-president Rahul Gandhi asserted that Prime Minister Modi had invited the opposition top brass under 'public pressure' as it was quite contrary to his regular style of functioning.

Talking about the impasse over the Goods and Services Tax (GST) Bill, he added that the Congress was clear on its position and had three differences with the Bharatiya Janata Party (BJP). He added that there would be further progress on the landmark reform only after the government fulfils the demands put forth by the Congress.

The three demands by Congress over the Bill are that they want to cap the rate of GST at less than 20 percent, scrap a proposed state levy and create an independent mechanism to resolve disputes on revenue sharing between states.