GST- Goods and Services Tax
It was Ms.Indira Gandhi, who added the word Socialism to the preamble of the constitution through 42nd amendment and it was Mr. Narsimha Rao who introduced globalisation and liberalisation in India. Thus, he killed the spirit of socialism. In this way, the Indian polity was tilted in favour of the rich and the capitalist. Thus, socialism was buried deep in the earth, though it is still a part of the preamble of the Indian constitution.
Continuing the process of globalization and liberalization, the Indian government prepared several schemes to help corporate houses to amass more wealth and money at the cost of the poor. One of them is GST. Under the pressure of the USA, the Indian government introduced it in the parliament on 19th December 2014, but it could not be passed because of the opposition of the congress and the leftist. It was sent to the select committee and remained stuck there for a long time. Now it has been passed not only by Lok Sabha, but also by Rajya Sabha after certain amendments. This has been possible after great persuasion and wooing on the part of the Prime Minister Narendra Modi and the Finance Minister Mr. Arun Jaitley. The success of GST bill depended on the support of opposition, specially the congress. Now, the effect of American influence on the Indian economy that began with the introduction of globalization and liberalization is going to be complete with GST. In other words, now India is under the subjugation of America both politically and economically.
With the introduction of GST, Indian taxation system will be deeply affected. The taxes imposed at various levels of the production of goods will be combined and only one tax will be imposed on different items. It may be 18% or 27%. It is still undecided. Consequently, the prices of goods will rise or fall. There are various items, specially the items used by the poor’s, such as the tea, coffee, salts, ready made clothes and many other food items, whose prices will rise. There are various items, used specially by the rich such as TV, refrigerators, luxury cars, whose prices will fall. What does this show? It shows the governments tilt towards the rich. The rich will be richer and the poor will be poorer.
This is the worst type of the capitalism. The middle class will be eliminated. There will be only two classes- the rich and the poor. This will give birth to social tension which will be compounded by communal and caste tensions. As a result, there will be unrest and riots. The social fabric of our society will be torn to pieces and there will be great upheaval in our country. The government should consider these points seriously before introducing the new taxation policy. It should introduce GST with necessary changes as safety valves to prevent these problems and thus maintain peace and normalcy in the country.