Brief by Shorts91 Newsdesk / 04:19pm on 27 May 2026,Wednesday India
Mukulika Banerjee sparked debate after claiming in a podcast that poorer Indians pay a larger share of their income in taxes because of the Goods and Services Tax (GST) system. The London School of Economics academic argued that GST places a proportionally heavier burden on low-income households. However, several experts challenged the claim, pointing out that many essential daily-use items commonly consumed by poorer households are either exempt from GST or taxed at the lower 5% slab. The remarks triggered wider discussions on tax equity, indirect taxation and consumption patterns in India, with critics accusing Banerjee of oversimplifying the structure and real-world impact of India’s GST regime. (PC: LSE Website)
