With barely over four months left for the rollout of the
goods and services tax, states today proposed that the new tax regime should
subsume most central indirect levies like excise and service tax as well as
state taxes like VAT, making it easier for business and industry.
The states
released a discussion paper prepared by the Empowered Committee of their finance
ministers here today which said the GST should also replace cesses and
surcharges at both the central and state levels.
The much-talked about discussion paper did not give any idea about rates and the
items to be included in it.
However, it made some specific suggestions such as alcohol and petroleum tax
should be out of GST, while tobacco be included in it.
