NEW DELHI: Prime Minister Narendra Modi on Monday wrote an open letter to citizens and hailed the “GST Bachat Utsav” initiative.PM Modi said that the lower GST rates mean more savings for every household and greater ease for businesses.”As the nation celebrates the beginning of Navaratri, I extend heartfelt wishes to you and your families. May this festival bring good health, happiness and prosperity to everyone. This year, the festive season brings an added reason to rejoice. From September 22nd, the Next Generation GST reforms have begun to make their presence felt, marking the start of a ‘GST Bachat Utsav’ or ‘GST Savings Festival’ across the country,” PM Modi wrote. ” These reforms will boost savings and directly benefit every section of society, be it farmers, women, youth, poor, middle class, traders or MSMEs. They will encourage greater growth and investments and accelerate the progress of every state and region,” he added. This letter came as the next-generation GST reforms come into effect on Monday, marking the launch of what PM Modi called ‘GST Bachat Utsav’.The GST 2.0 overhaul aims to simplify taxation and reduce the financial burden on households, businesses, and farmers, bringing relief just in time for the festive season. In the letter, PM Modi said that the most important feature in the Next Generation GST reforms is that there will mainly be two slabs of 5% and 18%, bringing the daily essentials such as food, medicines, soap, toothpaste, insurance and many more items will now either be tax-free or fall in the lowest 5% tax slab. Goods that were earlier taxed at 12% have almost entirely shifted to 5%.He also said that in the last few years, 25 crore people have risen above poverty and formed an aspirational neo-middle class.”If we combine the income tax cuts and the Next Generation GST reforms, they add up to savings of nearly Rs 2.5 lakh crore for the people. Your household expenses will reduce and it will be easier to fulfill aspirations such as building a home, purchasing a vehicle, purchasing appliances, eating out or planning a family vacation,” PM Modi said. “Our nation’s GST journey, which began in 2017, was a turning point in freeing our citizens and businesses from the web of multiple taxes. GST united the nation economically. ‘One Nation, One Tax’ brought uniformity and relief. The GST Council, with the active participation of both Centre and States, took many pro-people decisions. Now, these new reforms take us further, simplifying the system, reducing rates and putting more savings in the hands of the people,” he added. He also said that the Centre’s goal is “Viksit Bharat by 2047,” and to achieve it, walking on the path of self-reliance is imperative and added that tThese reforms strengthen our local manufacturing base, paving the way towards Aatmanirbhar Bharat.He also urged citizens to support products that are Made in India products. “I appeal to our shopkeepers and traders to sell products that are Made in India. Let us proudly say – what we buy is Swadeshi. Let us proudly say – what we sell is Swadeshi. I also urge state governments to encourage industry, manufacturing and improvement of the investment climate. Once again, I wish you and your families a joyous Navaratri and a season full of happiness and savings through the ‘GST Savings Festival’,” PM Modi said in a letter. Go to Source
