Mukherjee announces withdrawal of service tax on healthcare

March 22nd, 2011 - 3:06 pm ICT by ANI  

Pranab Mukherjee New Delhi, Mar 22 (ANI): Union Finance Minister Pranab Mukherjee on Tuesday announced the withdrawal of five percent service tax on healthcare.

He also introduced a Constitution Amendment Bill in the Lok Sabha to facilitate implementation of the Goods and Service Tax (GST), an indirect tax regime that would subsume levies like excise, service tax and sales tax.

The Bill seeks to amend the constitution with a view to confer simultaneous powers on the Centre and State Governments to levy taxes on goods and services.

The statement of objects and reasons of the Bill said: “The GST would replace a number of indirect taxes presently being levied by the central government and the state governments and is intended to remove cascading of taxes and provide a common national market for goods and services.”

The Bill provides for creation of a GST Council to be headed by Mukherjee.

The GST, which is considered to be a major tax reform, has been pending for the last four years over differences between the Centre and some States over the structure of the new tax regime. (ANI)

Related Stories

Tags: , , , , , , , , , , , , ,

Posted in National |

Subscribe