Manmohan seeks states support on GST implementation

NEW DELHI - Prime Minister Manmohan Singh Saturday sought the support of states in the government’s efforts to implement a uniform taxation regime on goods and services across the country from the next fiscal.

“Reform of tax structure and tax administration is another important step in resource mobilisation. The implementation of the the GST (Goods and Services Tax) is especially important in this context and I would urge chief ministers to give full support to the effort to implement GST with effect from April 1, 2011,” said Singh.

The prime minister made the appeal in his inaugural address to the 55th meeting of the National Development Council, the country’s top forum for evolving developmental policies. The meeting was attended by almost all the chief ministers, besides key ministers of the union cabinet and the Planning Commission Deputy chairman Montek Singh Ahluwalia.

Two days earlier Finance Minister Pranab Mukherjee had appealed for political consensus among all the states for implementation of GST, which involves passage of a constitutional amendment to be passed by two thirds majority of both houses of parliament, to be followed by its ratification by at least half the states.