Parliament Session News Highlights: FM challenges members on GST protests, questions lack of requests to lower medical insurance tax

"We received a lot of inputs on the indexation issue after presenting the Budget. For the middle class, we are giving both options of computation of tax without indexation and with indexation (on realty transactions)," said FM Sitharaman.

Union Finance Minister Nirmala Sitharaman on Opposition demanding withdrawal of 18% GST on health and life insurance, says, " I think honourable member RSP MP NK Premachandran wasn't rightly informed that work which has to be done through GST Council cannot be done through bringing an amendment here (in Parliament). The Speaker did not take up the notice of amendment as the matters pertain to GST Council. This amendment has to first happen in GST Council."

Congress MP Karti Chidambaram on 18% GST on life and health insurance, says, "The Government has the power to recommend to the GST Council. The govt has far more persuasive power than individual state governments to get this rolled back. They should roll it back. Sometimes people use insurance products also as savings. The return itself is not 18%, so if you tax it at 18% then the return is even lesser."

RSP MP NK Premachandran on Opposition's protest against 18% GST on health and life insurance, says, "The Oppositon's demand is to scrap 18% GST on life and health insurance schemes. For this, I gave a notice for amendment. The normal procedure of the House is if the amendment is admitted then only it is circulated. This was circulated in advance yesterday, it gives a message that this has the recommendation from the President. Now, they (the Centre) are saying that the circulation of the amendment doesn't mean that it is getting the recommendation of the President."

Congress MP KC Venugopal on Union Sports Minister's statement on Vinesh Phogat in Parliament today, says, "Very unfortunate the way the minister replied in the House today. It is the govt's duty to provide maximum support to the athletes. But telling all this in the House is an insult to the Olympians."

Excise duty on petrol and diesel has been reduced in November 2021 and May 2022. Petrol prices were cut but states have not done their part: FM

The Lok Sabha has been adjourned till 11 am tomorrow.

Rs 12,264 crore of GST collections from insurance went to the states. Around 73-74 percent of revenue goes to states: FM

Several suggestions have come with regard to GST and I shall take up with the council. Medical insurance has been taxed even prior to the GST regime. I want to ask the members if they ever made a demand to remove tax on medical insurance. You have been protesting here, but have not written to your respective FMs to reduce GST on medical insurance. GST council had raised this issue in the 31st meeting: FM Sitharaman

This LTCG option on real estate is aimed at no additional tax burden for taxpayers. We have the courage of conviction to change. Amendments in budget are brought in even later so that it is representative of common people's aspirations. Middle class has been in our mind. Removal of indexation in LTCG on real estate was not done due to revenue consideration but simplification. There is no revenue consideration or greed behind the proposals it is only simplification. Discussions on capital gains tax have been twisted and turned. We have yielded to the voices: FM Sitharaman

The logic of the budgetary proposal on capital gains is that it has to be simplified. And to treat all asset classes equally. Current amendment asset acquired before July 23 can compute tax under the old scheme with indexation or new scheme and pay the lower tax. We have given an option.

The new tax regime is simpler and gives more flexibility to the tax payer. The old regime is still not dissolved. Individuals can choose between the two regimes: FM Nirmala Sitharaman

Till July 31 in 2024-25 AY, 72.8% i.e. 5.2 cr taxpayers have moved to New tax regime. The total number of taxpayers is at 7.22 crore: FM

Record 7.28 cr income tax returns filed in 2024-25, which is 7.5% higher as compared to 6.77 cr last fiscal, till July 31. 58.57 lakh were first time filers in income tax returns in 2024-25 indicating widening of tax base. Income tax Refunds in 2023-24 are processed now in 10 days as compared to 93 days in 2013-14: FM

Rate cut in custom duties on several inputs for leather, textile aimed to boost employment, bring down costs. There will be a comprehensive review of the rate structure in the next 6 months. Till the time domestic manufacturing in marine products sector reaches a certain level, the sector should not suffer, so went for custom duty cuts: FM

In the customs side we have taken several steps to boost domestic production and enhance export competitiveness. Custom duty reductions are aimed at lowering the cost of raw materials. We have proposed rate cuts for labour intensive industries , exemption and reduction on 27 critical minerals such as lithium, cobalt, duty rate cuts for gold and silver: FM Sitharaman

Removal of angel tax has come as a big relief for startups. Angel tax was brought in 2012, the UPA government did not remove the tax: FM

We have moved away from the days of tax terrorism- faceless appeals, vivaad se Vishwas, relief was brought in to a large number of tax payers. Brought in faceless assessment to build confidence in taxpayer and prevent tax terrorism: FM Nirmala Sitharaman

FM begins her address by listing out all the measures that have been taken by the government for the Middle Class

In the last two years, substantial relief has been given to the middle class: FM

PM Modi’s direction to me was in total contrast to what was happening in developed countries- no tax on citizens to meet Covid expenditure: FM

The proposals based on the approach to bring in greater simplification of tax laws and technology driven: FM

No tax on citizenship meet covid expenditure was direction from PM when developed countries were increasing tax burden: FM

Govt informs Lok Sabha's Business Advisory Committee that Wakf bill to be introduced in House on Thursday, Opposition parties demand that it be sent to standing committee.

In Rajya Sabha, Union Minister JP Nadda says "I can say here with full responsibility that no government has respected the Constitution as much as the government led by PM Modi has done and the question of tampering with the preamble does not arise.Along with this, I also want to say here that the Constitution was robbed. On 25th June 1975, overnight and not once but more than 90 times, the work of toppling elected governments and tearing the Constitution to shreds was done. As far as the RSS is concerned, your government (Congress) tried to ban it twice, your government put 1,25,000 people in jail for 2 years but RSS is still as strong as ever, because it is a nation-loving, country-loving organisation and the Bharatiya Janata Party is engaged in serving Maa Bharati with full strength under the leadership of Modi Ji. The preamble has been protected and will be protected."

Union Education Minister Dharmendra Pradhan says, "Today, during the zero hour, the leader of opposition raised some things that were beyond facts. Quoting a newspaper, he alleged that the topic about the Preamble, which was there in the NCERT 6th class books, has been omitted now. I clarified the matter with the permission of the Speaker of the House. Recently, the new textbooks for the 6th class have been released. In all the books, the subjects of the Constitution's Preamble, Fundamental Duties, Fundamental Rights, National Anthem, etc have been included in more books than they used to be in the past. The Congress party is engaged in spreading lies and confusion. We expect that a person sitting in a responsible position like the Leader of the Opposition should not mislead the House. Modiji's government is committed to the Constitution...They should apologise to the country."