New Delhi, July 1: Finance Minister Arun Jaitley has said the Goods and Services Tax (GST) that was rolled-out from Saturday across the nation is a modern, efficient tax system and the country will get immensely benefited from this.
"The government wanted a modern and efficient tax system through GST. And we wanted it to be assessee friendly, taxation friendly and a simple procedure. The country will benefit immensely from the GST," he said while speaking at the 'Chartered Accountants Day' organised by The Institute of Chartered Accountants of India on Saturday.
Jaitley said all that the traders need to do after taking the Goods and Services Taxpayer Identification Number is to put their monthly transaction before the 10th of next month in their software.
"The auto populated returns or matching will be self generated," he said.
He said some people gave the argument of single rate of tax or two rates for GST.
"That is not possible now. We can converge some taxation in the future. 12 per cent and 18 per cent can be converged into one. But if we make a single rate of 15 per cent now, then items like food, which is consumed by poor people, will get hit."
Jaitley mentioned direct tax is progressive and indirect tax is regressive.
"It is important to have equality in taxation policy. I am fully confident that the step taken by the country with the cooperation of all political parties and states will be beneficial."
Saying that no one needs to fear about the implementation of GST, he took a dig at the opposition parties who boycotted the launch event of GST. "No on needs to fear it. Some people were afraid and they distanced themselves."
Jaitley added that the government is working towards making both indirect and direct taxes technology based. "We are working towards it progressively. The assesses will get maximum benefit of this."
Regarding filing tax returns online, the finance minister said it is the effort of the government to reduce "physical contact" in filing tax.