GST should be imposed on renewable equipment imports: Piyush Goyal

By: |
New Delhi | July 11, 2016 6:56 PM

Power Ministry is not pitching for keeping renewable energy equipment out of the purview of proposed GST but wants a level-playing field for domestic manufactures, Union Minister Piyush Goyal said today.

The proposed Goods and Services Tax law, which seeks to subsumes all central and state levies including excise, service tax and sales tax, is stuck in the Rajya Sabha. (PTI)The proposed Goods and Services Tax law, which seeks to subsumes all central and state levies including excise, service tax and sales tax, is stuck in the Rajya Sabha. (PTI)

Power Ministry is not pitching for keeping renewable energy equipment out of the purview of proposed GST but wants a level-playing field for domestic manufactures, Union Minister Piyush Goyal said today.

“Ideally we should put GST (rate) on imports so that it becomes a level-playing field and domestic manufacturing are not at disadvantage. Today there is an inverted (duty) structure. Domestic (manufacturers) are paying more taxes than imports,” Goyal, the Power and New and Renewable Energy Minister, said.

He was replying to a query whether the Power Ministry has proposed to keep renewable energy equipment out of the GST regime.

The proposed Goods and Services Tax law, which seeks to subsumes all central and state levies including excise, service tax and sales tax, is stuck in the Rajya Sabha.

Speaking on the idea of keeping the renewables out of GST, Goyal said, “Some manufacturing people did talk to me. I don’t think we should keep it out of GST. My approach is different. We have to create a level-playing field. So, GST (rate) should be on imports (of renewable).”

Asked whether his ministry has made any proposal over the same, he said, “To the best of my remembrance, I don’t think I would have asked for something like that. I believe that we should keep minimum distortion in the GST regime.”

Pitching for passage of the GST bill, the minister suggested that there is a need to build a pressure so that the GST is cleared in this Monsoon session of Parliament beginning on July 18, 2016.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Retail inflation hits 6-month high of 6.3 pc in May on costlier food, fuel; wholesale inflation at record 12.94 pc
2World has to decouple trade policy, green goals: Goyal at UN Trade Forum 2021
3Consumer anxiety at highest levels, less affluent most skeptical about economic outlook: Study