MORE REVENUE FROM GST!

According to media reports GOI has decided to increase the rate of GST of 143 items from 18% to 28%, a flat 10%. We may remember that there was a time when sales tax rate was 10% or below. Before increasing tax, the governments, whether state or central, may know that they are taking away part of the daily wages of a good number of people. If the government could enhance there earning by any extent and pick a share, it could be affordable. On the other hand without giving anything, drawing out from what little bit they have, looks to be too harsh.

Instead of playing on tax, why not all state and central governments try to produce more, sell more and earn more from international markets as well as from indigenous buyers. We have more than enough resources to produce more. We need not look for a new product of high technology. We can pick products from the existing market, make improvements if necessary, sell at throw away prices within the purview of international law. For instance, make electric vehicles in large quantities and sell at comparetively lower prices. We can select such many items including consumer goods. While arriving at the cost of production, let us ignore the conventional accounting terms like depreciation, overhead etc. Let us perceive the fact that any product, however intrigued it may be, is mere soil with added labour. We have 3.287 million km² area to pick soil from and 139 crores people to convert it into any product. Then, what prevent us from producing more and more and multiply our GDP as well as the pci of the people to enable them to pay more GST. Please don't delay even a second.

K V George