Lok Sabha passes Manipur GST (Second Amendment) Bill amid Winter session turbulence

IANS Photo

IANS Photo

New Delhi, December 1 (IANS): In a significant step towards fiscal alignment, the Lok Sabha, on Monday, passed the Manipur Goods and Services Tax (Second Amendment) Bill-2025, despite ongoing disruptions in the Winter session. 

Introduced by Finance Minister Nirmala Sitharaman on Monday, the bill replaces the Manipur Goods and Services Tax (Second Amendment) Ordinance, 2025, promulgated on October 7 amid the President's Rule in the state.

Telugu Desam Party's Krishna Prasad Tenneti, who chaired the session later adjourned the House till Tuesday, as Opposition members were adamant on the demand for discussion on SIR (special intensive revision) underway in 12 states.

The legislation amends the Manipur Goods and Services Tax Act, 2017, to synchronise it with recent changes in the Central Goods and Services Tax (CGST) Act via Sections 121–134 of the Finance Act, 2025.

Key provisions include streamlined tax slabs, merging overlapping rates to simplify compliance, and introducing a 40 per cent levy on ultra-luxury items.

These reforms, recommended by the 56th GST Council meeting, aim to boost revenue, curb evasion, and foster ease of doing business in the northeastern state.

Speaking during the three-hour debate allocated for the Bill, Finance Minister Sitharaman highlighted its timeliness.

"Under President's Rule since February 13, 2025, Manipur's GST framework needed urgent parity with national norms. This amendment ensures seamless integration, benefitting traders and consumers alike," she said.

The Finance Minister emphasised how the changes would enhance fiscal autonomy and support economic recovery in a region grappling with ethnic tensions and insurgency.

Shashank Mani of the Bharatiya Janata Party from Deoria (Uttar Pradesh) seconded the proposal and advocated for the passage of the Bill.

The Bill's passage was not without hurdles through voice vote.

Opposition members, including those from Congress and Trinamool Congress, held protests over electoral issue and the SIR of electoral rolls, leading to two adjournments earlier on Monday.

Trinamool MP Saugata Roy criticised the timing, saying it imposed "additional burdens" on Manipur's conflict-hit populace.

However, BJP allies and Treasury benches rallied behind the measure.

It now heads to the Rajya Sabha for consideration.

Sources indicate the Upper House may take it up by the week's end, alongside other economic reforms like the Insurance Laws (Amendment) Bill proposing 100 per cent FDI in insurance.

Experts view the passage as a win for GST's uniform architecture.

For Manipur, reeling from violence since May 2023, the Bill could inject stability into its Rs 5,000-crore economy, dominated by agriculture and handlooms.

As Parliament navigates a packed agenda -- including the Insolvency and Bankruptcy Code (Amendment) Bill and Supplementary Demands for Grants -- the Manipur GST Bill's approval underscores the government's push for legislative momentum amid political crossfire.



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