Jaipur: In the state assembly held on Wednesday, the Goods and Services Tax bill-2017 was passed by voice vote.
The comprehensive indirect taxation was introduced as the Constitution Act 2016 that allows GST-registered businesses to claim tax-credit of the value of the GST they have paid as a part of their normal commercial activities. Furthermore, the bill also reorganizes the import and export taxes.
Rajasthan is the third state to adopt the new tax regime after Bihar and Telangana and eleven other states are also predicted to pass the bill by mid-May.
While presenting the bill, Industry Minister Rajpal Singh said that the said tax reform will help the economy of the state, as well as nation, to grow at an unprecedented pace. It will aid the seamless flow of goods and services across the country. Inter-state trade too is expected to witness growth, ultimately increasing the GDP and leading to several benefits for the citizens.
He also commented on the other states who had agreed on passing the bill but are not yet ready to do so yet, saying ‘The service sector in Rajasthan has been growing rapidly and it accounts for 48% of the state’s GDP.’ stating that the state is ready to adopt the tax reform. The rate structure under the GST has also been finalized.