Kejriwal has termed it dangerous to link GST with PMLA Act

New Delhi: The GST Council held its 50th meeting at Vigyan Bhawan in Delhi on Tuesday, which was presided over by the country's Finance Minister Nirmala Sitharaman. The proposal to bring GST under the PMLA Act was opposed by the opposition parties as this meeting began. Arvind Kejriwal, the Chief Minister of Delhi, has termed the Goods and Services Tax Network (GSTN) authorisation to exchange information with the Enforcement Directorate (ED) as dangerous.Along with Kejriwal, Delhi's Education Minister Atishi has also opposed it.Describing it as dangerous for the country's economy, Kejriwal said that everyone should oppose it. He also demanded the central government to withdraw it.

Arvind Kejriwal, the Chief Minister of Delhi, earlier this morning before the meeting expressed his displeasure in a tweet, saying that a big number of traders do not pay GST - some out of compulsion, some on intentionally. The national government recently introduced GST in ED.That is, if a businessman does not pay GST, the ED would arrest him instantly and no bail will be granted. The GST system is so complex that even people who pay the full GST rate might get caught in some provision and imprisoned. That is, the central government has the power to imprison any businessman in the country at any time.He further said, Instead of doing business, the businessman will simply save himself from ED. It will also enslave the country's small company owners. There will be no traders remaining. This is extremely dangerous to the country's economy.

In addition to Kejriwal, Delhi Education Minister Atishi expressed her displeasure, saying,'Many finance ministers, including those in Delhi, have expressed concern over the inclusion of GST under the PMLA (Prevention of Money Laundering Act). On July 7th, a notification was issued placing the whole GST system within the Prevention of Money Laundering Act.This implies that people who file GST can now be punished under the PMLA by the ED. We've seen how the ED is being used to harass and arrest individuals. We are opposed to it and have requested a meeting.

On July 7, the government made a significant GST decision. The government has decided to include the Goods and Services Tax Network (GSTN) into the PMLA, for which a notification has been issued. This implies that the ED can now intervene directly in GST-related cases.The ED will be allowed to take immediate action against a GST evasion company, merchant, or institution. According to a government notice, the ED would be provided comprehensive knowledge on the GST network's data. The notification is about information exchange between ED and GSTN under PMLA Section 66(1)(iii).