GST 2.0 to boost GDP by Rs 20L cr, says Vaishnaw

New Delhi: Union Electronics and IT Minister Ashwini Vaishnaw on Monday said that the simplification of the Goods and Services Tax (GST) framework will make doing business in India easier and boost overall demand, adding nearly Rs 20 lakh crore to the country’s GDP.

Speaking to the media, Vaishnaw stated that the reform is being welcomed nationwide because it enables people to save a greater portion of their income and makes most everyday necessities more affordable.

Targeting the Opposition, the minister said that while "there was only talk and no action" under the UPA administration, the NDA government has provided tangible relief through the GST. He gave several examples of lower tax rates, including the following: cement, which previously had a 30 per cent tax, is now subject to an 18 per cent tax; sanitary pads, which were previously subject to a 13 percent tax, are now completely exempt; footwear, which was previously subject to an 18 percent tax, is now only 5 per cent; refrigerators are now only 18 percent taxed; and detergents are no longer taxed.