Sunil Kanoria, President, The Associated Chambers of Commerce and Industry of India
Imposition of goods and services tax (GST) will improve the ease of doing business in the country apart from giving a uniform market to producers, Sunil Kanoria, President, Assocham, said here on Wednesday.
Assocham or The Associated Chambers of Commerce & Industry of India is one of the apex chambers of commerce.
According to Kanoria, GST is a “brahmastra” (master weapon) and it can push up the country’s GDP by “at least 1.5 per cent”.
“Political parties must come together to allow passage of the GST Bill in the Parliament for the sake of the country. Not only will it improve the ease of doing business and create uniformity of taxation; it also has the ability to push the GDP up by at least 1.5 per cent,” he told reporters during a press conference by the apex chamber.
According to him, the GST should subsume “all indirect taxes” and make taxation simple. Keeping too many products out of GST’s ambit, would defeat its purpose.
“Ideally, there should be a direct tax; and indirect tax. GST should subsume all indirect taxation into one,” Kanoria added.
Government to increase spending
According to the Assocham President, the slowdown in the Chinese economy presents India with a great growth opportunity.
Government spending on infrastructure and increased public spending along with interest rate cuts were required. Brining down the cost of power, logistics and transportation will help exports become competitive.
“With major multilateral institutions like the IMF and big economies such as the US, Japan, Germany and the UK all betting high on India being saviour of the international economy, stakes are too high for us not to let them and ourselves down,” he said.
On West Bengal
Meanwhile, Amit Mitra, West Bengal Finance, Commerce and Industry and IT Minister, said over Rs. 843 crore have been invested by private equity firms, angel funds, start-ups, venture capitalists and othe:rs since the Mamata Banerjee government came to power.
Quoting a knowledge firm study, he said that PE firms had invested $8.4 billion in India between January and September 2014 as against $7.8 billion in 2013 thereby showcasing 38 per cent jump year-on-year in PE firms’ investment in India, Assocham said in a release.