Get real on GST

This refers to the article ‘GST reforms, a work in progress’ December 25). While the GST Council’s silence on health insurance and compensation cess is disappointing. The three-slabbed GST on popcorn in preference to genuinely revisiting the 18 per cent GST on insurance was least expected.

Given how the GST Act was rushed through in 2017, it is hardly surprising to see the number of changes in tax rates seen since then.

However, one wishes that the revenue savvy GST Council takes a holistic view on the tax slabs as also the categorisation of various goods and services under basic/necessities, semi-luxury and luxury groups. Please get real on GST.

SK Gupta

New Delhi

Confusion over slabs

This refers to the article on GST reforms (December 25). Right from its inception the confusion and grievances over GST have been mounting. The government ‘s lack of clarity is seen in taxing salt, essentials and notebooks even. Even diagnostics equipment are taxed.

Since it is not done people take insurance policies and for such failures of the government also people are being taxed. Five per cent on salt. 12 per cent if it is packed and 18 per cent if it is flavoured is proof of the confusion over slabs on salt.

A G Rajmohan

Anantapur

Pragmatic Budget needed

Economists apprised Prime Minister Narendra Modi of the need to reduce income tax rates and customs tariffs, improve farm productivity, sustain the capital expenditure, deregulate financial markets and skill population, at a pre-Budget meeting in New Delhi on Tuesday (December 25).

The economists are right, as reducing income tax rates will enhance the disposable income of the people leading to increase in consumption and investment demand and thereby employment, income and output in the economy. Similarly, sops for exports will have a positive effect on the aggregate demand.

One expects a pragmatic Budget from the government.

S Ramakrishnasayee

Chennai

Remembering Vajpayee

With reference to the article ‘The statesman who shaped India’ (December 25) by Prime Minister Narendra Modi on the legacy of former Prime Minister Atal Bihari Vajpayee, Vajpayee understood the evolving security situation around India.

In spite of pressure from world powers, he went ahead and conducted nuclear tests. India became confident and acquired the ability to defend itself from any conventional and non-conventional attack.

Second Vajpayee emphasis on was “connectivity” for prosperity and economic development of India. The most important initiative Pradhan Mantri Gram Sadak Yojana had many villages connected with the cities. It has a transformative effect on the lives and livelihoods of rural India.

Velpula Ramanujam

Hyderabad