Hindi English Translation || Editorial || ​Soothing salvo: On new Group of Ministers and tax changes for insurance policies

​Soothing salvo: On new Group of Ministers and tax changes for insurance policies

The GST Council (जीएसटी परिषद) has held out hope for some relief for insurance consumers (उपभोक्ता)

Meeting for the second time after the 2024 general election results, the Goods and Services Tax (GST) Council on Monday (September 9, 2024) sought to calm some of the rising clamour (protest, complaint, outcry/commotion) against the 18% indirect tax levy on insurance premium (बीमा प्रीमियम) payments. A new Group of Ministers is being formed to urgently recommend tax changes for life and health insurance (स्वास्थ्य बीमा) policies, with an assurance (promise, guarantee, vow, pledge, commitment, affirmation) the Council would meet again in November to take a call (to make a decision about something) on its report. This marks (चिह्नित करना, संकेत करना) a notable (उल्लेखनीय, महत्वपूर्ण) shift (परिवर्तन, बदलाव) from last month, when Finance Minister Nirmala Sitharaman had staunchly (दृढ़ता से) defended (बचाव करना, समर्थन करना) the levy in Parliament, noting that States earn a large chunk (बड़ा टुकड़ा, हिस्सा) of these revenues and Members of Parliament, who took on the Centre on the matter must flag (indicate, identify, point out) it with States’ Ministers as they are a party to the Council’s decisions. It must be noted that a reconsideration (पुनर्विचार) of GST levies on insurance had come up (arise, present itself, occur, happen, come about) at least three times under the Council’s aegis (protection, support, backing, supervision, guidance of a person, group or organisation), starting a year and a half since the GST’s July 2017 launch (शुरुआत, आरंभ), but the status quo (यथास्थिति, वर्तमान स्थिति) was preferred each time.

What is plausibly (reasonably, possibly, probably, conceivably, practically) different this time around is that the government’s own have echoed (repeat, say again, reiterate, restate, mimic, imitate) the sentiment (feeling, point of view, thought, opinion, belief). While Union Minister Nitin Gadkari has averred (state, assert, affirm, declare, profess) that the GST levy on life insurance (जीवन बीमा) premium is tantamount to taxing the uncertainties (unpredictability, unreliability, riskiness/precariousness) of life, the BJP’s now-critical allies such as the TDP and Jana Sena Party have also sought a rollback (withdrawal, removal; annulment, cancellation, invalidation) of the levies on health and life insurance. Perhaps (maybe, possibly) not unrelated is the government’s post-poll decision to desist from (refrain from, stop oneself, abstain, forgo, discontinue, hold back) tom-tomming GST’s buoyant (improving, expanding, booming, progressing, growing, developing) monthly collections, perceived (acknowledge, accept, realize, understand) by many as a celebration of high levies on consumers. GST revenues just from health insurance premia (plural of premium) rose over 54% between 2021-22 and 2023-24, yielding (give, provide, produce) ₹8,262 crore last year. One hopes that any reduction in the GST on health covers considered by the Council is not selective (particular, picky, choosy, discriminatory) or limited (restricted), for instance (for example), to group policies or senior citizens or with a cap (limit, upper limit, ceiling) on the cover, and it is ensured they translate (change, convert) into real cuts (reduction, decrease, lessening, rollback) in premia payments. After the COVID-19 pandemic (the worldwide spread of a new disease; The illness spreads around the world and typically affects a large number of people across a wide area), while awareness levels about health cover needs have risen, hospitalisation (the act of taking (or) admitting someone to (or) in hospital for treatment) and insurance cover costs have spiked (increase/rise sharply) even faster. Given (considering, taking into account, bearing in mind) India’s inadequate (insufficient, short, scarce, scant, meagre) public health systems, a serious disease or malaise (disease, disease, sickness; trouble, unease, depression/unhappiness) afflicting a single family member can push an average household (family, house) into poverty. For life covers, the Council could take a more nuanced (minute, delicate, subtle) approach by extending most relief to pure term insurance (a type of life insurance that provides coverage for a specific period of time) policies that help families tide over (help or support someone in difficulty (particularly with financial aid); assist, give assistance to, keep someone going, sustain, survive, see through) shocks, rather than (instead of) to myriad (various, many and various, manifold, multiple) market-linked investment products offered by the industry in the guise of insurance. If, in the Council’s wisdom, helicopter services availed (be of service to, be useful to, be of use to) on a ‘shared seat’ basis must attract (draw) only 5% GST, insurance policies surely deserve (justify, be worthy of) more benign (mild, favourable, agreeable, advantageous, beneficial, helpful) taxation too.

Courtesy: The Hindu

Important Word List With Meaning

1.soothing (adjective)

Hindi Meaning - सुखदायक, शान्तिदायक
English Meaning - reducing, calming, comforting, relaxing.

2.GST Council (noun)

Hindi Meaning - जीएसटी परिषद
English Meaning - a federal body (established under article 279A of the Constitution) that aims to bring together states and the Centre on a common platform for the nationwide rollout of the indirect tax reform.

3.consumer (noun)

Hindi Meaning - उपभोक्ता
English Meaning - buyer, purchaser.

4.insurance premium (noun)

Hindi Meaning - बीमा प्रीमियम
English Meaning - the amount that a policyholder will pay either in a lump sum or regularly to purchase the insurance policy.

5.life insurance (noun)

Hindi Meaning - जीवन बीमा
English Meaning - it provides financial support to beneficiaries after the insured’s death.

6.health insurance (noun)

Hindi Meaning - स्वास्थ्य बीमा
English Meaning - it covers medical expenses during the insured’s lifetime.

7.mark (verb)

Hindi Meaning - चिह्नित करना, संकेत करना
English Meaning - indicate, represent, signify.

8.notable (adjective)

Hindi Meaning - उल्लेखनीय, महत्वपूर्ण
English Meaning - important, significant, marked, obvious, striking, glaring.

9.shift (noun)

Hindi Meaning - परिवर्तन, बदलाव
English Meaning - change.

10.staunchly (adverb)

Hindi Meaning - दृढ़ता से
English Meaning - committedly, steadfastly, firmly, resolutely, persistently, adamantly.

11.defend (verb)

Hindi Meaning - बचाव करना, समर्थन करना
English Meaning - support, back, justify, uphold, endorse, argue for.

12.chunk (noun)

Hindi Meaning - बड़ा टुकड़ा, हिस्सा
English Meaning - a significant/large amount of something; a thick, solid piece of something.

13.reconsideration (noun)

Hindi Meaning - पुनर्विचार
English Meaning - review, re-examination, reassessment, re-evaluation, reappraisal, rethink.

14.launch (noun)

Hindi Meaning - शुरुआत, आरंभ
English Meaning - introduction, commencement.

15.status quo (noun)

Hindi Meaning - यथास्थिति, वर्तमान स्थिति
English Meaning - the present situation, the current state, the existing state of affairs.

16.soothe (verb)

English Meaning - calm, comfort, pacify, appease.

17.salvo (noun)

English Meaning - attack, aggressive act, assault.

18.hold out (phrasal verb)

English Meaning - have a feeling of (hope/confidence); offer (a chance/hope).

19.sought past and past participle of seek (verb)

English Meaning - try, aim, attempt.

20.clamour (noun)

English Meaning - protest, complaint, outcry/commotion.

21.levy (noun)

English Meaning - imposition, charging, collection (of a tax, fee, fine).

22.assurance (noun)

English Meaning - promise, guarantee, vow, pledge, commitment, affirmation.

23.take a call (phrase)

English Meaning - to make a decision about something.

24.take on (phrasal verb)

English Meaning - oppose, challenge, confront, face, stand up to, compete against.

25.flag (verb)

English Meaning - indicate, identify, point out.

26.come up (phrasal verb)

English Meaning - arise, present itself, occur, happen, come about.

27.under the aegis/auspices of (phrase)

English Meaning - with the support/help/protection of someone/something; backing, patronage, sponsorship, guidance, assistance, influence, responsibility, care.

28.aegis (noun)

English Meaning - protection, support, backing, supervision, guidance of a person, group or organisation.

29.plausibly (adverb)

English Meaning - reasonably, possibly, probably, conceivably, practically.

30.of one’s own (phrase)

English Meaning - belonging to oneself alone.

31.echo (verb)

English Meaning - repeat, say again, reiterate, restate, mimic, imitate.

32.sentiment (noun)

English Meaning - feeling, point of view, thought, opinion, belief.

33.aver (verb)

English Meaning - state, assert, affirm, declare, profess.

34.be tantamount to (adjective/phrase)

English Meaning - be equal to, be equivalent to, represent.

35.uncertainty (noun)

English Meaning - unpredictability, unreliability, riskiness/precariousness.

36.ally (noun)

English Meaning - partner.

37.rollback (noun)

English Meaning - withdrawal, removal; annulment, cancellation, invalidation.

38.perhaps (adverb)

English Meaning - maybe, possibly.

39.desist from (verb)

English Meaning - refrain from, stop oneself, abstain, forgo, discontinue, hold back.

40.tom-tom (verb)

English Meaning - boast about, to talk about something proudly; to make something known, proclaim; announce publicly.

41.buoyant (adjective)

English Meaning - improving, expanding, booming, progressing, growing, developing.

42.perceive (verb)

English Meaning - acknowledge, accept, realize, understand.

43.premia (noun)

English Meaning - plural of premium.

44.yield (verb)

English Meaning - give, provide, produce.

45.selective (adjective)

English Meaning - particular, picky, choosy, discriminatory.

46.limited (adjective)

English Meaning - restricted.

47.for instance (phrase)

English Meaning - for example.

48.cap (noun)

English Meaning - limit, upper limit, ceiling.

49.translate (verb)

English Meaning - change, convert.

50.cut (noun)

English Meaning - reduction, decrease, lessening, rollback.

51.pandemic (noun)

English Meaning - the worldwide spread of a new disease; The illness spreads around the world and typically affects a large number of people across a wide area.

52.hospitalisation (noun)

English Meaning - the act of taking (or) admitting someone to (or) in hospital for treatment.

53.spike (verb)

English Meaning - increase/rise sharply.

54.given (preposition)

English Meaning - considering, taking into account, bearing in mind.

55.inadequate (adjective)

English Meaning - insufficient, short, scarce, scant, meagre.

56.malaise (noun)

English Meaning - disease, disease, sickness; trouble, unease, depression/unhappiness.

57.afflict (verb)

English Meaning - trouble, bother, burden, distress, cause suffering to, beset, worry.

58.household (noun)

English Meaning - family, house.

59.nuanced (adjective)

English Meaning - minute, delicate, subtle.

60.term insurance (noun)

English Meaning - a type of life insurance that provides coverage for a specific period of time.

61.tide over (phrasal verb)

English Meaning - help or support someone in difficulty (particularly with financial aid); assist, give assistance to, keep someone going, sustain, survive, see through.

62.shock (noun)

English Meaning - trauma, collapse, breakdown; disturbance causing volatility/uncertainty in an economy.

63.rather than (phrase)

English Meaning - instead of.

64.myriad (adjective)

English Meaning - various, many and various, manifold, multiple.

65.market-linked (adjective)

English Meaning - used to explain a financial product that is related to the performance of a stock market.

66.market-linked investments (MLI) (noun)

English Meaning - a mix of traditional investments with elements tied to financial markets such as stocks, bonds, or indices. In simplest terms, they’re debt securities, or bonds, that have a return that is linked to the performance of another asset or assets.

67.under/in the guise of (phrase)

English Meaning - under the pretence or outward/external appearance of something; posture, semblance, (false) show/display.

68.in someone’s (infinite) wisdom (phrase)

English Meaning - used in a sarcastic way to say that someone has stupidly done something.

69.avail (verb)

English Meaning - be of service to, be useful to, be of use to.

70.attract (verb)

English Meaning - draw.

71.deserve (verb)

English Meaning - justify, be worthy of.

72.benign (adjective)

English Meaning - mild, favourable, agreeable, advantageous, beneficial, helpful.