Himanta Biswa Sarma Expresses Gratitude to PM Modi for Historic GST Reforms

Assam Chief Minister Himanta Biswa Sarma has conveyed deep gratitude to Prime Minister Narendra Modi for introducing what he described as “one of the most consequential reforms in India’s GST structure.” This comes in the wake of the GST Council’s landmark decision to simplify and restructure the Goods and Services Tax framework by reducing the existing multiple slabs to a streamlined two-tier system of 5% and 18%. The new structure will come into effect from September 22, marking a significant shift in India’s tax policy.

Sarma, in a message posted on social media platform X, highlighted the importance of this reform, both for the Indian economy as a whole and for the people of Assam in particular. He praised the Prime Minister for spearheading this transformative change and acknowledged the GST Council’s role in ensuring its approval and implementation. Calling the reform a “super booster” for the Indian economy, Sarma elaborated on its potential to revitalize various sectors, especially small and medium enterprises (SMEs). By reducing tax burdens and rationalizing rates, he said the reform would make businesses more agile, spur employment opportunities, drive higher consumption, and ultimately ensure that citizens retain more disposable income.

Drawing on his own extensive experience in financial governance, Sarma offered a reflective perspective on the evolution of the GST since its inception. Having served as Assam’s Finance Minister during the initial years of GST implementation, he has closely followed its trajectory and challenges over the past eight years. According to him, this latest reform marks a defining moment in India’s tax history, one that demonstrates both the resilience and adaptability of the country’s governance system. He stressed that the Modi Government’s ability not only to implement GST successfully but also to revisit and reform its structure when necessary highlights a governance approach that is both firm in vision and flexible in execution.

Sarma’s statement underscores the broader economic and political significance of the GST overhaul. By rationalizing tax rates, the government aims to reduce complexity, enhance compliance, and ease the burden on businesses and consumers alike. For Assam, as for the rest of the country, this shift is expected to bring tangible benefits in terms of economic dynamism and improved living standards. The reform aligns with the government’s long-standing objectives of fostering growth, encouraging entrepreneurship, and creating a more transparent and efficient tax regime.

In his message, Sarma’s emphasis on the role of SMEs is particularly notable. Small and medium enterprises form the backbone of India’s economy, contributing significantly to employment generation and overall GDP. By simplifying GST rates, the reform reduces administrative hurdles and compliance costs for these businesses, enabling them to operate more efficiently and expand more confidently. This, in turn, is expected to generate a ripple effect across the economy, stimulating consumption and demand in a virtuous cycle of growth.

In conclusion, Sarma’s acknowledgment of the reform reflects not just his appreciation for the Prime Minister’s leadership but also his optimism about the future trajectory of India’s economy. He framed the GST restructuring as a transformative development that will empower businesses, benefit common citizens, and reinforce India’s governance model as one that combines steadfast vision with adaptive pragmatism.