EPS urges Centre to withdraw new GST proposal on essentials

CHENNAI: AIADMK's "interim general secretary" and former chief minister Edappadi K Palaniswami on Wednesday urged the Centre government to withdraw the new Goods and Services Tax (GST) proposal on the essential commodities as imposing taxes would affect the common people.

Pointing out that the GST's 47th meeting was recently chaired by Union Finance Minister, the AIADMK leader, in a statement, the meeting has decided to slap GST on various essential commodities, which were used regularly, especially by the middle-class people.

He said 5% GST has been proposed for rice and wheat, which comes in packets, and at the same time, it was also decided to introduce taxes for vegetables, dry fruits and meat. "In addition, even for postal services 5% GST has been planned", he said adding that the prices of products will increase sharply with new GST tag and therefore, the people were apposing the Centres' move.

Stating that the prices of food items in hotels will also increase if the tax was imposed, Palaniswami said even small restaurant owners were worried that their business would incur losses.

Claiming that when the AIADMK was in the power, on behalf of the government former minister D Jayakumar, who had represented all the GST meetings, had got the exemption of GST for various products, which benefited the people.

"Similarly, the tax was reduced from 18% to 5% for household wet-grinders during the AIADMK regime, which had improved the industry, especially in Coimbatore district,” he said. He added that now the tax was again increased to 18%, which would affect the manufacturers.

Charging the DMK government and its finance minister, who attended the GST meeting, have not opposed the new GST proposal, the AIADMK leader said "from this, it is clear that how much care the government is taking for the people".

Requesting the GST council at the Centre to withdraw the new GST proposal, Palaniswami said "the DMK government should also prevail upon the council not to introduce any new taxes".