Abhishek Banerjee, the prominent Trinamool Congress (TMC) leader, has once again taken a strong stance against Union Finance Minister Nirmala Sitharaman after she defended the Union Budget and the implementation of Goods and Services Tax (GST) during a session in Lok Sabha. This heated exchange comes as part of the ongoing debate over the government’s handling of essential commodities and their tax implications.
Sitharaman, in her response to Banerjee’s criticism, dismissed the claims he made regarding the GST burden on essential goods. Specifically, Banerjee highlighted that powdered milk, often used by families unable to afford fresh milk, is subject to a 5% GST, whereas fresh milk remains tax-free. Sitharaman, however, took to the floor of Parliament to clarify that there is no tax on milk and reiterated that several essential goods, including textbooks, erasers, and healthcare services, remain unaffected by the GST.
Banerjee, however, wasn’t convinced by the defense. In his sharp reply, he emphasized that GST on powdered milk places an undue burden on economically disadvantaged families, especially those trying to stretch their grocery budgets. “While fresh milk is untaxed, it’s the powdered milk that’s taxed, and it’s what poor families are forced to buy. This is the real issue I was highlighting,” Banerjee stated. His argument underscores the dissonance between the policies crafted by lawmakers and the lived reality of the people on the ground, particularly the poorest sections of society.
Banerjee’s Rebuttal to Sitharaman’s Claims
In a statement released after the debate, Banerjee reiterated his point that Sitharaman’s defense of the GST framework missed a crucial aspect, the difference between the laws in the books and the reality that low-income families face daily. He also pointed out that while healthcare services and consultations may have a zero-GST rate, critical supplies like oxygen cylinders, used to save lives, are subjected to 12% GST, adding to the financial strain on patients and families.
“Consultations are GST-free, but oxygen cylinders that save lives? They’re taxed at 12%. Insulin injections that are a lifeline for diabetics are taxed at 5%. This is where the government’s claim of zero-tax on essential items falls short,” Banerjee added.
He went on to say that Sitharaman had once again proven that she and the BJP-led government were disconnected from the real struggles faced by ordinary people, particularly those in states like West Bengal, where economic hardship is prevalent. Banerjee’s sharp comments reflect growing frustration with the central government’s handling of economic policies that critics argue disproportionately affect lower-income and marginalized groups.
The Broader Political Implications
This exchange highlights the ongoing battle between TMC and the central government, with Banerjee positioning himself as a vocal critic of the BJP’s economic agenda. His critique is rooted in a belief that the Union Budget, in its current form, does little to alleviate the hardships faced by ordinary families, especially in the context of rising inflation and unemployment.
While Nirmala Sitharaman maintains that the Budget has been balanced to serve all sections of society, Banerjee’s response illustrates a deeper political divide. His statement also resonates with ongoing concerns about state autonomy in implementing economic policies, with states like West Bengal seeking more control over their finances and welfare programs.
Moving Forward: The Debate on GST and Welfare
As the debate over GST and the Union Budget continues to simmer, Banerjee’s remarks have only added fuel to the fire. With 2026 elections on the horizon, the discourse surrounding taxation, welfare schemes, and fiscal policies is likely to become a pivotal issue. The growing dissatisfaction with the central government’s handling of essential goods tax will likely play a significant role in shaping public opinion, particularly in economically disadvantaged regions.
