Cong says govt delaying GST implementation

New Delhi: Congress today accused the government of being “insensitive” towards implementing GST and said the blame for delaying the key tax reform measure for three years should be on the Modi dispensation.

There is confusion on the launch of GST on July 1, Congress leader M Veerappa Moily said.

“VAT income of all states has declined sharply. This is mainly because of demonetisation and other factors. GST revenues will be decelerating in all states. The states will be badly hit. This has not been envisaged by Finance Minister.

No provision has been made in the present Budget for meeting such challenges.

“That means they are most insensitive for implementing a very important enactment like GST, which was brought by us. If at all any blame should go, it is to the present government, which has delayed implementation of GST for more than three years,” the former Union Minister said.

He said the GST network had rejected CAG’s request to name Auditor and do extra audit. “This has had sad reflection with regard to preparedness to launch the GST,” he said.

Moily said the Budget allocation for defence reflects the “sad affair” of allocations to the sector.

He said the allocation has been reduced by 5 per cent and this will “decelerate military modernization and preparedness”.

Pointing out to the story of BSF soldier Tej Bahadur, who had put out a video of the food quality given to soldiers on social media, he said it reflects the morale of defence forces which is depleting day-by-day with such incidents.

“It is most unfortunate story, which reflects how the Army has been managed, how they are not being properly supplied with the rations, uniforms,” he said.

He alleged that Rs 7,000 crore of capital budget in 2016-17 has been surrendered, “which underlies the structural incapability of this Government to spend even the inadequate allocation. I do not know whether the Defence Minister is doing his job or not except thumping his own chest”.

“They do not do anything to strengthen the capabilities of their establishments. India faces conventional war challenges from Pakistan s F-16s and rapidly modernizing Chinese Air Force.

“The capital outlay has decreased in the fiscal year 2017-18 to Rs 10.5 billion that means 5 per cent decrease from the previous year. This will decelerate military modernization and preparedness,” he said.