 "TMC leader Derek O'Brien urges govt to slash GST on health insurance | Politics News")
Further, he said there is an imbalance in the insurance sector, where 75 per cent is life insurance policies, and 25 per cent medical insurance | File image | (Photo: PTI)
Senior TMC leader Derek O’Brien on Monday urged the government to reduce 18 per cent GST on health insurance policies, saying the high tax rate is burdening people, especially the middle class.
Raising the issue during Zero Hour in Rajya Sabha, he also referred to a letter written to the finance minister by senior BJP leader and Union Minister Nitin Gadkari making similar demand.
“The demand is straightforward. Reduce 18 per cent GST on medical and health insurance. We should reduce it because this is an issue which is burdening people, mainly the middle class. That’s why it needs to be reduced,” said Derek.
The TMC leader pointed out that insurance penetration in India is low at 4 per cent compared to more than 7 per cent globally.
Further, he said there is an imbalance in the insurance sector, where 75 per cent is life insurance policies, and 25 per cent medical insurance.
Derek said the West Bengal chief minister has written to the finance minister in this regard and many opposition MPs have also raised the issue.
“They won’t listen to us…,” he said, and added that the finance minister should at least listen to Union Road Transport and Highways Minister Gadkari.
Derek also rejected the argument given by the government that GST Council can only change this.
“This is a flawed argument,” he said, adding that the NDA has majority in the council also.
“We must not allow the finance minister to hide behind the curtain of the GST Council. This is a middle class issue. This is not a political issue,” Derek said.
Congress member Renuka Chowdhury expressed concern that banks are not issuing credit cards to senior citizens.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
First Published: Aug 05 2024 | 2:21 PM IST
