PM Mr Modi has dropped another bomb on the poor who were already hit by the repeated revision of GST (Goods and Services Tax) and the inclusion of products and services.
This time his government came up to impose GST on milk but exempt gambling. Already GST is being collected at the rate of 12 percent on hotel bills, 18 percent on insurance, and five percent on hospital services but it is just 1.5 percent for those buying diamonds.
The daily diet of the poor – wheat, milk, and milk products are charged at five percent GST which speaks volumes about the concern for the poor of PM Mr Modi and his government.
The GST council which often meets has revised the GST 1,000 times in five years every time including new items and services that are most essential for the survival of the poor.
The handloom sector the second largest supporter of the poor was also not exempted by the central government. It used to collect five percent GST and once proposed to increase it to 12 percent. When the state governments including the Telangana state strongly protested, the decision was kept in abeyance for now.
Mr Modi government introduced the GST system on July 1, 2017. It was widely celebrated by the BJP cadre but the poor and middle classes started feeling burdened since then.
Former finance minister P Chidambaram warned the government that it would lead to the worst situation. The demonetisation followed by Corona badly affected the lives of crores of people.
However, the PM Mr Modi lacked any concern or sympathy towards the poor and becoming more harsher day by day to increase his revenues even selling away the profit-making public sector units as well.
These measures do not augur well and if the BJP government realises it the sooner the better.
By Gollapudi Srinivasa Rao