New Delhi: A recent meeting in Tamil Nadus Coimbatore between Finance Minister Nirmala Sitharaman and local business leaders has sparked controversy. Srinivasan, owner of the popular Sree Annapoorna restaurant chain, expressed strong concerns about the complexities and challenges of the Goods and Services Tax (GST) system, prompting a wider debate on the issue. His public frustrations voiced during the event highlighted the difficulties faced by businesses in navigating the GST system, leading to a heated discussion and calls for reform. Srinivasan highlights GST inconsistenciesSrinivasan brought to light the difficulties arising from inconsistent GST rates on various products. He pointed out that the GST rate on sweets is 5%, while namkeen is taxed at 12%. Interestingly, plain buns are exempt from GST, yet buns with cream are taxed at 18%. According to Srinivasan, these varying rates make calculating GST and input credits challenging not only for businesses but also for tax officials.Ministers response sparks outrageWhile Finance Minister Sitharaman appeared to dismiss the issue with a laugh during the meeting, Srinivasan was reportedly asked to apologize later. The apology was discreetly recorded and subsequently shared by the BJPs official social media handle. This recording has ignited debate, with critics arguing that it highlights a troubling level of arrogance.There was a meeting organised in Coimbatore with businesses and Finance Minister Nirmala Sitharaman▪️The owner of Sree Annapoorna, a famous vegetarian restaurant chain in Coimbatore, Mr. Srinivasan explained the problems of different GST rates for different items to FM▪️He… pic.twitter.com/FXCZTWUjcU— Supriya Shrinate (@SupriyaShrinate) September 13, 2024BJP faces backlashThis incident has fueled public outrage, with many viewing it as a blatant disregard for legitimate business concerns. Critics argue that this reflects a broader issue of governmental insensitivity, particularly in Tamil Nadu—a region known for its rich political heritage and resistance to perceived injustices. The episode has only added to the BJPs challenges in making significant political inroads in the region, historically influenced by figures like Periyar.Official response under scrutinyThe controversy underscores the expectation that public officials should address grievances with empathy and seek practical solutions rather than intimidating those who raise concerns. The response to Srinivasans complaint has been described as a severe lapse in maintaining respectful and constructive dialogue between the government and the business sector.
