India News | No Plans to Introduce Calamity Cess on GST: Finance Ministry Sources
Get latest articles and stories on India at LatestLY. There are no plans to impose calamity cess on the Goods and Services Tax (GST) to tide over the economic crisis caused by COVID-19 and the lockdown imposed to prevent its spread, Finance Ministry sources said on Saturday.
New Delhi [India], May 23 (ANI): There are no plans to impose calamity cess on the Goods and Services Tax (GST) to tide over the economic crisis caused by COVID-19 and the lockdown imposed to prevent its spread, Finance Ministry sources said on Saturday.
The sources said there have been reports in a section of the media about such a cess and tinkering with taxes would not be a prudent option in the given scenario.
"There have been stories claiming that the Centre is considering a calamity cess on GST to tide over the economic crisis. In the present economic scenario in COVID-19, any purported proposal of introducing a calamity cess would be nothing less than adversity itself," a source said.
They said any such proposal would prove to be "counter-productive" as the sales figures are already low due to slump in demand and introducing a cess, which would lead to a further increase in prices, could hamper the sales even further.
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"Any such proposal would be counter-productive as at this time sales are already low. The industry is facing a crisis for want of demand and likely labour challenges that might come in future due to COVID-19. Tinkering with taxes/cess wouldn't be a prudent option," the source added.
The report said that Centre was mulling a calamity cess in line with the disaster relief cess introduced in Kerala following the floods in 2018. (ANI)
(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)