Uttar Pradesh Assembly on Tuesday unanimously passed the UP Goods and Services Tax (GST) Bill, 2017.
The bill had been tabled in the Vidhan Sabha on Monday and was passed by a voice vote on Tuesday.
Initiating the discussion on the bill, Chief Minister Yogi Adityanath termed it a revolutionary move which was in the interest of consumers as well as traders.
"The GST bill is the result of the Modi Government's push towards wider economic reforms," he said, adding that it will bring uniformity in tax structure.
The Chief Minister's office (CMO) also tweeted the major provsions of the new tax regime, which will be effective from July 1.
The Yogi government enjoys a brute majority in the state assembly with the combined opposition occupying only 78 seats in the 403-member assembly. Among the oppoisiotn, Samajwadi Party occuies 47 seats, while Bahujan Samaj Party (BSP) and Congress have 19 and 7 seats rescpectively.
Earlier, GST Bill had been cleared by Parliament and it now requires ratification by the respective state governments for its pan-India implementation from July 1, 2017. The Yogi cabinet had on May 2 approved the proposal pertaining to the implementation of GST in UP, after it is tabled and ratified in assembly.
The state government is confident its tax revenue would increase under GST, which is touted as the most liberal tax structure ever adopted in the country. Any shortfall in revenue under GST would be compensated by the Centre in early years. However, petroleum and alcohol products would not be covered under GST.
Earlier, UP had witnessed its tax kitty burgeon under the Value Added Tax (VAT) regime, which was implemented in the state on January, 2008 under the Mayawati-led government.
UP is expected to gain from the new regime considering that GST follows a destination-based taxation system.