KOCHI: GST has dissolved economic barriers between states and widened the market. It will also invite more investments to Kerala besides boosting inter-state business, said Finance Minister T M Thomas Isaac during the inaugural address of an event in Kochi to mark the launch of GST in the state.
GST is definitely a turning point for the country as it does not have the shortcomings of Value Added Tax, the minister said. “VAT had certain limitations as it is applicable only within the geographical boundaries of a state. The days of bureaucrat-centred tax collection is over. GST also gives more power for tax administration,” he said. Despite its advantages, GST has some negative aspects too, said Isaac. “While GST will bring down the price of luxury goods, it does not have the same impact on other day-to-day items.
The chance for price hike also exists. ‘‘Yet, it is beneficial for Kerala in general as it is a consumer state,” he said. Water Resources Minister Mathew T Thomas presided over the event. MLAs M Swaraj and John Fernandes and Commercial Taxes commissioner Rajan Khobragade spoke on the occasion.