New Delhi (Gurpreet Singh): The Lok Sabha passed the Finance Bill 2026 through a voice vote, with Finance Minister Nirmala Sitharaman strongly countering criticism from opposition parties including the Congress, Trinamool Congress and Dravida Munnetra Kazhagam.
Replying to the debate, Sitharaman accused opposition-ruled states of obstructing key central welfare schemes. She alleged that benefits under initiatives like PM KISAN and Ayushman Bharat were delayed or denied in certain regions, particularly targeting West Bengal.
The minister also criticised the opposition alliance for raising issues in Parliament while remaining absent during responses, calling it a repeated pattern of conduct.
Highlighting economic indicators, Nirmala Sitharaman said recent GST rate cuts had driven growth in the automobile sector, with passenger vehicle sales and two-wheeler demand witnessing significant increases. She pointed to rising industrial activity in Tamil Nadu’s automobile hubs as evidence of policy impact.
Addressing concerns over fiscal health, the minister said the government had reduced the fiscal deficit from 9.3% during the pandemic to a projected 4.3% for 2026–27, while maintaining economic stability. She added that India’s debt-to-GDP ratio remains lower than several major global economies and is on a declining path.
Sitharaman also outlined the five guiding principles of the Finance Bill, including trust-based tax administration, ease of doing business, support for MSMEs and farmers, strengthening India’s global competitiveness, and simplifying trade processes.
She emphasised that the government is shifting towards a “facilitate first, enforce where necessary” approach, replacing what she described as a compliance-heavy system of the past. Measures announced include reduced tax collection at source (TCS), decriminalisation of minor business offences, and expanded tax benefits for cooperatives and rural sectors.
On the issue of cess collections, the minister clarified that the Centre has spent more on states through various schemes than it has collected, asserting that funds are being channelled into sectors like education, healthcare and food security.
The passage of the Finance Bill marks a key legislative step in implementing the Union Budget’s proposals, with the government reiterating its focus on reforms, economic growth and welfare delivery.
