• Notification Date: 22-02-2022
• Notification No: N/A

Criticism of GST as ‘Gabbar Singh Tax’ Countered by Finance Minister

Oppositions have been protesting against the Goods and Services Tax (GST) provisions as highlighted by the Finance Minister in Budget 2022. The opposition parties have called the GST provisions ‘Gabbar Singh Tax’. The term coined by the critiques has been countered by the Finance Minister as a ‘knee-jerk reaction’ which is a disservice to the institutions of the country.

Several suggestions were proposed regarding the GST provisions during the post-Budget interaction. The matter was raised in the response to one of such suggestions provided regarding the GST during the interaction with the industry in the financial capital. In the response, the Union Minister explained that the GST Council consists of the Centre and all the States. The Finance Minister added that the Centre has one-third share on the decisions made regarding the GST provisions.

Congress leader Rahul Gandhi has called the new GST provisions as ‘Gabbar Singh Tax’. The name has been adopted from a fictional character of a famous movie of the 1970s. According to him, the new GST provisions are responsible for the decline in the economic growth of the country.

Finance Minister Nirmala Sitharaman has replied to this remark by saying that the institution has been constructed with the States on board. Hence, the Centre has no right to tarnish the GST agendas whatsoever. She added that the opposition leaders are terming the GST provisions as ‘Gabbar Singh Tax’ which is nothing but a knee-jerk reaction towards the country’s institution.

According to the Revenue Secretary, Tarun Bajaj, the Goods and Services Tax (GST) is decided by a committee system comprising both the members of the Centre and the States and it cannot be independently decided by any one of the governments.