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Congress Calls for GST Simplification Ahead of Union Budget Announcement

Congress Targets GST Complexity Ahead of Budget

As the Union budget approaches, the Congress party has launched a critique against the Goods and Services Tax (GST), labeling it as burdensome and complex. Congress chief Mallikarjun Kharge humorously referred to it as "Gabbar Singh Tax" and "Give Sitharaman Tax," highlighting the party's demand for a more rationalized tax structure to alleviate the financial strain on the middle and lower-income groups.

Simplify GST, demands Congress ahead of Budget

Pawan Khera, AICC spokesman, in Jaipur, criticized the GST as the "Gabbar Sitharaman Tax" and labeled PM Narendra Modi as "the biggest coward." The Congress party's stance is that the GST, initially designed to broaden the tax base, has instead complicated the tax system and failed to provide relief to the majority of the population.

GST's Impact on Different Income Groups

Sachin Pilot, another prominent Congress leader, emphasized the disproportionate burden of GST on the lower 50% of the population, who contribute to 64% of the GST revenue, compared to the top 10% who contribute only 3%. This disparity underscores the need for a revised GST framework that ensures fairness and simplicity.

The Congress president criticized the Modi government's celebration of record GST collections, arguing that it overlooks the tax's heavy reliance on public consumption, with a significant portion paid by the poor and middle class. Additionally, the imposition of GST on 36 agricultural products and an 18% GST on life and health insurance premiums has further exacerbated the financial strain on citizens.