Fewer GST slabs possible after rise in revenue: Jaitley

Scope to reduce compliance burden of small taxpayers, says Finance Minister

Bigger reforms such as the lower number of slabs under the Goods Service Tax [GST] regime can be considered once there is revenue buoyancy, Union Finance Minister Arun Jaitley has said.

Speaking of the 'Foundation Day' event of the National Academy of Customs, Indirect Tax, and Narcotics on Sunday, the  Minister said, we have almost by the day, space and scope for improvement... To reduce compliance burden as far as small taxpayers are concerned.

He added, we have space for improvement eventually, once we become revenue neutral, to think in terms of bigger reforms such as lesser slabs, but for that, we have to become revenue neutral.  

Better reforms

The Minister said, "In a society Which did not conventionally mind being a non-tax compliant one, people are realist virtues of compliance which comes with the passage of time. This is the reason for tax integration. Once this change is established, we will have scope and space for improvement. 

And once we become revenue neutral, we need to think of better reforms. India is going through indirect taxation at a time when the economy is growing, he said, adding that direct tax is paid by the more affluent sections, while the indirect tax is a burden on all.