Chief Economic Adviser, CEA, Arvind Subramanian has
said going forward the Goods and Services Tax,GST , may have fewer rates by
"collapsing" 12 percent and 18 percent tax slabs into one.
While delivering a lecture at the ICFAI Institute of Higher Learning in
Hyderabad , he said “I
am confident that over the next 6-9 months the (GST) system will stabilize. It
will also be a model for other countries to emulate... Then, over time, the 12%
and 18% rates can probably be collapsed into one rate. So, over time, we will
see fewer rates. We would not ever have one rate because that is too difficult
to achieve,” said Subramanian at the ICFAI Institute of Higher Learning in
Admitting there were some technical glitches in the filing systems under the
regime, he said the new system is a
bit "complicated" as states have different IT systems and
these issues are being addressed by the GST Council.
Subramanian described the GST implementation as a
"transformational fiscal reform" that the country had not seen in the