The great political and economic thinker Chankaya had once said that the “tax structure for a country should be like the grip of lioness on her cubs. To hold them tight but also taking precaution that they don’t get hurt by her long nails”. The uniform one nation one tax principal finally got applicable but like all other this decision too has been implemented half baked by the current union government. Where the ethos of this structure is to cut down on un-necessary taxes and bring down prices of essential product/services, the case of on ground seems to be poles apart.
A stent dealer here informed that earlier the government had announced that after GST the tax rate on medicines and implants would be only 5%, though when the structure came into being the case sounds dissimilar. Talking about his product business, he said that where earlier a stent with all related ancillary and operation cost used to be charged around 90 thousand. Now the introduction of GST has increased it to roughly more than a lakh of rupee.
Reasoning it he added that when a stent is to be implanted on somebody there are other accessories and support equipment which are required along with too. Earlier the tax rate on all of them was ranging 5%. However now after introduction of GST the tax rate though on stent has remained 5% but all other support equipment is being charged on 12%, which has caused the increase in pricing, thus beating the very purpose of this tax structure.
He said technically talking the price of a stent which was Rs 23625/- earlier to a patient is now at Rs 24806/-. He said that in the earlier tax structure the dealer used to get a 3% off on tax after submitting C form, which has now been abolished, thus the benefit of discount which was earlier being passed on to the patient is getting swayed away, making it little expensive.
|Sr no||Product name||Rate before GST||Rate after GST|
|1||Aspiration Catheter||Rs 29400/-||Rs 35123/-|
|2||PTCA Baloon||Rs 11550/-||Rs 12127/-|
|3||Diagnostic catheter||Rs 850/-||Rs 950/-|
|4||Guiding catheter||Rs 4725/-||Rs 5040/-|
|5||Needles||Rs 60/-||Rs 70/-|
|6||Angiography kit & PTCA kit||Rs 1050/-||Rs 1176/-|
|7||Tubing (High pressure/PM line/Extension line)||Rs 80/-||Rs 100/-|
|8||Guide wires||Rs 4725/-||Rs 5292/-|
|9||RA band/T.R Clouser band/FA band||Rs 1260/-||Rs 1411/-|
|10||PTCA Y-connector kit||Rs 1260/-||Rs 1411/-|
|11||Femoral Sheath & Radical Sheath||Rs 1250/-||Rs 1450/-|
|12||Inflation device (with or without kit)||Rs 3150/-||Rs 3528/-|
|13||Manifold 2port/3port||Rs 250/Rs350/-||Rs 350/ Rs 450/-|
|14||Stent||Rs 23625/-||Rs 24806/-|
Stating examples he said that an Aspiration Catheter which was earlier taxed at 5% was costing Rs 29400/- has now inflated to Rs 35123/- including 12% GST. Similarly a PTCA balloon used to cost Rs 11550/- net but now is costing Rs 12127/- net. “ Similar is the rate structure for other related equipment too as earlier most of them were taxed at 5% , but now except for stent, Dialyzer and transducer protector every other item is billed at 12% GST. Thus making billing also very difficult for us,” whined the stent dealer.
Meanwhile patients and their attendants rued too after their hopes from the new tax structure shattered into pieces. Some stated that if this is the case in medical implants (an essential for human being to survive), then the Prime Minister’s word that all is being done for the benefit of common man sounds more like a saga statement.” One out of many he keeps giving every day”, they summoned.