'Failed finance minister': Rajeev Chandrasekhar's 'disgruntled' retort on Chidambaram's GST 'U-turn' claim

NEW DELHI: Kerala BJP president Rajeev Chandrasekhar on Wednesday launched a sharp counterattack on Congress leader P Chidambaram over his remarks on the government’s recent overhaul of the Goods and Services Tax (GST), terming him a "dejected, disgruntled and failed finance minister."

"If you remember, he is the man who mocked the digitisation of our economy, FinTech, and UPI. He has been wrong many times. He destroyed the economy," Chandrasekhar said.


"I would humbly and respectfully tell him that he is in no position to comment on our economy today," the BJP leader added.

Chidambaram had earlier described the sweeping reforms approved by the GST Council as a belated "U-turn," arguing that the rationalisation of rates should have happened eight years ago.

"GST rationalisation and reduction of the rates are welcome, but one is left with the thought that these steps are eight years too late," Chidambaram said adding that Congress and many economists had long flagged flaws in the GST’s design and multiple tax slabs.

The Congress leader also suggested the overhaul was driven by sluggish growth, rising household debt, falling savings, and upcoming elections.

GST slabs overhaul
The GST Council simplified the regime on Wednesday by reducing the current four slabs — 5, 12, 18 and 28 per cent — to just two - 5 and 18 per cent. A special 40 per cent slab will remain for luxury and sin goods such as high-end cars and tobacco.

Common-use items like roti, paratha, hair oil, ice cream, and TVs will now be cheaper, while premiums on individual life and health insurance policies have been exempted from GST altogether. The new rates will take effect from September 22, the first day of Navaratri.

Union finance minister Nirmala Sitharaman said all decisions were taken unanimously by the Council with no opposition from any state.

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