CII Applauds PM Modi's Visionary GST Overhaul for Economic Growth

The Confederation of Indian Industry (CII) has praised Prime Minister Narendra Modi's announcement of comprehensive Goods and Services Tax (GST) reforms. Aimed at simplifying and stabilizing India's tax framework, these changes are expected to enhance business ease, reduce costs, and boost investor confidence, aligning with India's economic ambitions.

The Confederation of Indian Industry (CII) has expressed strong support for Prime Minister Narendra Modi's announcement of significant reforms in the Goods and Services Tax (GST). During his Independence Day speech, Modi outlined plans for next-generation GST changes, which CII hails as a crucial step toward creating a simpler, transparent, and pro-growth tax regime.

The formation of a high-powered committee to review the GST framework marks a timely and strategic move, aligning tax policies with India's rapidly evolving economy. The CII commends the government's inclusion of long-advocated industry suggestions, such as a two-rate tax system and measures to correct inverted duty structures, which could enhance manufacturing competitiveness and ease compliance burdens for MSMEs.

CII believes these reforms will improve business operations, cut costs, and accelerate formalization and digitization. The focus on adjusting tax rates for essentials versus luxury items demonstrates a balanced approach, benefiting consumers and the economy. The GST's initial success in unifying markets and reducing tax cascades sets a foundation for India's continued economic ascent, targeting a USD 5 trillion economy.

(With inputs from agencies.)