Negative feedback led to GST changes

Negative feedback led to GST changes

A negative feedback from traders and businessmen of Gujarat caused Prime Minister Narendra Modi and BJP president Amit Shah to act immediately on easing compliance rules of the Goods and Services Tax (GST).

So alarming were the reports particularly from traders in big and small towns of Gujarat that Shah returned urgently from his Kerala tour to huddle with the PM and Finance Minister Arun Jaitley a day ago, BJP insiders said. Gujarat goes to polls by the end of December.

With hardly few days left before the Election Commission announced the date of polls, they decided that relief to small and medium enterprises and traders should be decided by the GST Council that met on Friday.

Accordingly, Jaitley and his key aides led by Union Revenue Secretary Hansmukh Adhia sat late in the finance ministry on Thursday finalising the relief measurers that could be cleared by the GST Council.

In fact, among the edible items that would cost less following the revision of GST rates was khakhra, which is a popular breakfast item for Gujaratis.

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