Facebook Pixel LESSONS FROM INDIA'S MIDNIGHT TRYST WITH FISCAL DESTINY | The Morning Standard - newspaper - Lees dit verhaal op Magzter.com

Poging GOUD - Vrij

LESSONS FROM INDIA'S MIDNIGHT TRYST WITH FISCAL DESTINY

The Morning Standard

|

July 19, 2024

Many leaders and scholars came together to make GST a reality. The model of cooperative federalism that made it possible could be used in other areas too

- K M CHANDRASEKAR

LESSONS FROM INDIA'S MIDNIGHT TRYST WITH FISCAL DESTINY

IN the aftermath of the election and the first parliament session, we lost sight of the seventh anniversary of the goods and services tax or GST. After several decades of sustained, quiet effort by many people, the president ushered it in at midnight on July 17, 2017.

In 1986, the government of India took the first step in the form of MODVAT, a type of value-added tax limited to central excise duties. My introduction to VAT occurred in the mid-1990s, when I was finance secretary of Kerala. Amaresh Bagchi, the then director of the National Institute of Public Finance and Policy, held a meeting of state finance ministers and secretaries. My minister, CV Padmarajan, asked me to represent the state. I was new to VAT on a national scale, even though my state had introduced it in a few select industries. With the approval of my minister, I recall I opposed the introduction of VAT at the national level, primarily because it would adversely affect the state's flexibility in revenue collection. My connection with finance ended a couple of years later when I moved to the commerce ministry in 1996, where I remained until 2004. I then came to the finance ministry as revenue secretary.

In 1994, a service tax was introduced at the central level. The discussion gradually veered towards a goods and services tax in the 1990s, but the political uncertainty prevailing in the second half of the decade lowered the momentum. In 1999, there was a significant new development when an empowered committee of state finance ministers was formed an innovative exercise in cooperative federalism.

MEER VERHALEN VAN The Morning Standard

The Morning Standard

AIFF bans fan entry for next Bagan match

THE Disciplinary committee of the All India Football Federation (AIFF) had ruled that the next home game of Mohun Bagan Super Giants (MBSG) will be played behind closed doors, pertaining to repeated incidents of “spectator misconduct.”

time to read

1 min

March 04, 2026

The Morning Standard

The Morning Standard

Will & skill: Jacks turns into England's all-round monster

WILL Jacks and Eminem.

time to read

3 mins

March 04, 2026

The Morning Standard

The Morning Standard

In Her Own Voice

Popular playback singer Sona Mohapatra took the stage at the Sufi Heritage Festival in Delhi recently, weaving Bhakti and Sufi devotion into a powerful live set. She speaks to TMS about the meaning of creative freedom and what sustains longevity in the industry.

time to read

3 mins

March 04, 2026

The Morning Standard

'Very scary watching missiles flying overhead'

MUCH to the relief of the huge Indian diaspora in West Asia, Indian carriers transporting passengers from Dubai, Jeddah, Abu Dhabi and Muscat reached Terminal 3 of the Indira Gandhi International Airport (IGIA) on Tuesday after a three-day gap in operations.

time to read

1 mins

March 04, 2026

The Morning Standard

The Morning Standard

Tension in Raj town after cow vigilantes kill man as family, cops trade charges

THE death of a young man duringa clash between alleged cow smugglers and cow vigilantes has sparked off tension in Rajasthan’s Bhiwadi town, prompting deployment of additional police forces on Tuesday as a precautionary measure.

time to read

1 min

March 04, 2026

The Morning Standard

Israel moves forces into Lebanon; Hezbollah says ‘let it be open war’

Evacuations ordered in 80 villages as cross-border strikes kill 40 and displace thousands

time to read

2 mins

March 04, 2026

The Morning Standard

Why govt keeping mum on Khamenei, asks Cong

THE Congress on Tuesday slammed the Centre for its “silence” over the killing of Iran’s Supreme Leader Ayatollah Ali Khamenei in an attack carried out by the US and Israel.

time to read

1 min

March 04, 2026

The Morning Standard

The Morning Standard

Time for Surya to join party at the Wankhede

IT was close to 7.30 PM at the Wankhede Stadium.

time to read

1 mins

March 04, 2026

The Morning Standard

TN leads in SS scheme, but GoI still denies funds: Anbil

THE ‘Dravidian model’, which emphasises equality and “everything for everyone”, is not merely a social commitment but smart economics that enhances the state’s productivity, said Tamil Nadu School Education Minister Anbil Mahesh Poyyamozhi on Tuesday.

time to read

1 mins

March 04, 2026

The Morning Standard

Tribunal awards ₹70 lakh to kin of army personnel killed in truck crash

Incident took place on October 29, 2021

time to read

1 mins

March 04, 2026

Listen

Translate

Share

-
+

Change font size