Projecting Bengal as an attractive investment destination and the Trinamool Congress as a pro-industry party, state Finance Minister, Amit Mitra said his party was the first to support the Goods and Services Tax (GST) as early as 2009.
According to Mitra, who is also the Chairman of the Empowered Committee of Finance Ministers on GST, support for the legislation came from the Trinamool Congress party supremo, Mamata Banerjee, at a time when “most political parties were not even aware of it”.
Banerjee has been one of the most vocal supporters of GST. Her push for the legislation is seen by political observers as an attempt to have a pro-industry image.
Considered to be India’s biggest-ever tax reform, the Constitutional amendments to the GST Bill is being debated in the Rajya Sabha today.
“Way back in 2009, Mamata Banerjee – the then Railway Minister under UPA-II regime – had lent her support to GST. At that time, most political parties were not even aware of what GST was,” he said at the FICCI Banking Conclave.
According to Mitra, GST seeks to create a “political economy” as it ensures that inflationary effects are not passed on to the common man.
“GST seeks to create a political economy. It is not just a corporate tax proposal. It has also ensured that the common man is not affected by the tax burden being passed on to them,” he said.
Urges banks to set up branches
Meanwhile, Mitra pointed out that nearly 717 gram panchayats in Bengal, that have a population of over 5000 people, do not have banks. He urged banks, including the country’s largest bank, State Bank of India (SBI), to come up with “brick-and-mortar branches”.
He said that the state government is willing to provide office spaces – between 300 sq feet and 500 sq feet – at the various gram panchayat offices so that bank branches come up.
“Bandhan has promised 55 branches in such areas; and, another 50 by other banks. But there is still a huge number that has to be covered. I urge banks to come up with branches in these areas by the end of this year,” he said.