news details |
|
|
| Little scope for FM to impose any fresh taxes | | | Early Times Report
Jammu, Jan 24: When Abdul Rahim Rather, Finance Minister, will present the annual budget proposals in the Assembly next month it would not be a maiden exercise on the part of Rather. He has done this exercise for several years when the National Conference remained in power in the state. The budget presentation will not be a maiden exercise on the part of National Conference ruling alliance because one such exercise the combine has carried out in 1987 when the two shared power in Jammu and Kashmir. But it does not seem to have reduced the level of interest people and political circles evince in the shape and size of the budget proposals. These two circles are eager to know whether Rather will be generous in giving some tax relief. They would feel satisfied if the new budget does not propose any heavy dose of taxes or hike in excise duty.
What worries Ex-servicemen is the habit of Rather in hiking the taxes and excise duties on CSD items. When he remained the Finance Minister in the past he hiked the taxes and excise duty on all CSD items which had caused a lot of inconvenience to them. Number of Ex-servicemen and those in service in the Army and the paramilitary forces say that CSD items in Jammu and Kashmir were available at prices 20 to 30 per cent higher than those sold in the CSDs in other states. Dilating on the issue they said that various brands of liquor in Punjab and Haryana markets were being sold at prices lower than in the Army canteens in Jammu and Kashmir. They have made a detailed survey of the price structure of different items, including television sets, refrigerators, electric appliances, suit cases, thermos flasks and grocery items which has revealed that prices of these items were 20 to 30 per cent higher than the price ;level in canteens in other states. In the context of these developments they have suggested to Rather that if he cannot reduce the existing tax level he should not impose fresh burden on them by enhancing the taxes and excise duties being on CSD items in Jammu and Kashmir. They want the Finance Minister to emulate his predecessors who spared the CSD items from being brought under the purview of more taxes during the last six years.
Those connected with trade are of the opinion that since Jammu and Kashmir was a consumer state the tax rate had already reached the saturation point. Besides this, the state's trade, industrial, transport tourism and agricultural sectors had been hit hard by the 20-year long militancy related violence leaving hardly any scope for the finance Minister to administer another dose of taxes. They said during the PDP led coalition Government a cess of Re. One had been imposed on each litre of petrol with the result that fuel prices were higher than the neighbouring states. Leaders of trade are of the opinion that since Government employees' monthly salary was expected to register a big increase after the implementation of the 6th pay commission report Rather could explore the possibility of imposing professional tax so that each employee, besides paying income tax, could contribute towards the state resources.
Electricity consumers in the domestic and commercial sectors say that during the last about one decade the power tariff has been increased twice and that too when uninterrupted supply position continues to elude consumers. They suggest to the Finance Minister to lay emphasis on checking power pilferage in the state which continues to be the highest at 47 per cent, which includes the transmission and distribution losses. During the last four years the revenue of the Power Development Department has registered a big increase after electronic meters were installed in various areas. The power tariff revenue would have further increased had the Government covered all the areas in the urban and the rural belt of the state. During the last two years the Government had launched a drive against unauthorized power lines but it was half done task with the result at least 40,000 connections are still unauthorised. If the Government plugs these loopholes there would be no need to hike the power tariff. The Finance Minister also needs to carry out a survey of the income scale of wayside fruit, vegetable sellers and eateries. The survey will convince him that they could be brought under the net of some small dose of taxes. No doubt the ruling coalition is not to face election in the immediate future, still a tax free budget proposals could allow it to strengthen its vote bank.
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
| |
|
|
|
|
 |
|
|
