Finance Minister Arun Jaitley said on Wednesday said it was almost certain that the proposed Goods and Services Tax (GST) rate would be much less than 18 per cent.
The finance minister said the demand to scrap the 1 per cent levy under the GST Bill is fair and the issue is “resolvable”.
GST is intended to create a single market and boost commerce in India’s $2 trillion economy, but the Bill, which was passed by the Lok Sabha, has been blocked in the Rajya Sabha where the ruling NDA government lacks a majority.
The Congress wants to cap the rate of GST at less than 20 per cent, scrap a proposed state levy and create an independent mechanism to resolve disputes on revenue sharing between states.
