August 5, 2024
Derek O’Brien’s Zero Hour in Rajya Sabha: Demand to ‘reduce rate of 18% GST on health and insurance policies‘
Sir, the demand is straightforward – Reduce 18 per cent GST on medical and health insurance. Reduce it. Sir, in three minutes, let me make four quick points. This has been there since July, 2007, and it has gone unnoticed! Why should we reduce it? We should reduce it, because this is an issue which is burdening the people, mainly the middle class. That is why this is to be reduced. The high tax rate of 18 per cent is a burden. Insurance penetration is low in India. Internationally it is more than 7 per cent and in India it is just about 4 per cent. That is why GST should be reduced. Sir, there is an imbalance in the insurance sector where 75 per cent is life insurance and only 25 per cent is medical insurance! How can this be done? Who has raised this? Two of our MPs here – Shri Saket Gokhale and Ms. Dola Sen – have raised it. My hon. Chief Minister has written a letter to the hon. Finance Minister to reduce it. They wouldn’t listen to us. Okay. At least, listen to the Union Cabinet Minister from her own BJP party who has also recently written to the hon. Finance Minister. He is the hon. Minister of Road Transport and Highways. He is from the BJP. They could listen to him. But, when we write, the hon. Finance Minister will say, ‘No, no. I cannot do anything. The GST Council will change it.’ This is a flawed argument. The ratio in the GST Council is: NDA-2 and INDIA-1. The GST Council, as said by the Supreme Court, is an advisory body. So, Sir, we must not allow the hon. Finance Minister to hide behind curtain of the GST Council. We must not allow it. Sir, this is a middle class issue. This is not a political issue. Mr. Chidambaram, – he has a lot of experience – a few days ago, said that the hon. Finance Minister should ‘listen.’ I appeal – I know all the INDIA parties are together in this – to the BJD also to please associate itself with this issue. You must associate yourself with this issue, because it is touching the middle class. And, I request the hon. Finance Minister to come in the next 3-4 days and say on the floor of this House that this is not working. Sir, there is a GST Council meeting going to happen; if this doesn’t happen in the next 3-4 days, Iske liye andolan chalu rahega. The people of India cannot have medical insurance for GST. Thank you, Sir.
