Peoples Democratic Party (PDP) Vice President Mohammad SartajMadni has said that state of Jammu and Kashmir is proving to be the best beneficiary of Goods and Services Tax (GST) regime.
In a statement issued here he said: “The government led by Mehbooba Mufti has handled the issue with utmost care and regard for state’s fiscal autonomy. He said specific economic considerations also are being duly taken into account with finance minister getting vindicated on all commitments made by the government to business community and other stake holders.”
Madni said that state government has “retained all its authority bestowed in it by state’s constitution for tax assessment and tax administration”. This should allay all apprehensions which were spread when state government decided to apply GST in the state.
Madni said not only has GoI respected the state government’s stand on constitutional position, it has also “agreed” to all the proposals regarding tax exemptions on handicrafts and other such products and businesses. He said it is heartening to note that GoI has additionally agreed to state government’s proposal for assessment under the 80:20 share for businesses over Rs 1.5 crore turnover. “This gives relief to huge section of society and will give push to business in a big way,” he claimed.
Meanwhile PDP General Secretary PeerzadaMansoorHussain hailed the state government for “retaining” the tax assessment and administration powers under Goods and Services Tax regime, which was an intractable issue post-GST implementation. “The move has come not only as a huge relief to the state’s business community but also ensures protection of J&K’s tax administration powers under the GST regime which was flagged by our political opponents as a major area of concern,” Mansoor said in a separate statement issued here today.
He said the noteworthy decision has also put to rest the speculations and fears over dual tax administration by the state and the Centre. “The credit for this landmark initiative goes to the Finance Minister HaseebDrabu who had time and again assured that the State Government would ensure adequate safeguards to its tax administration powers under the new regime,” Mansoor said.
He also hailed the pioneering fiscal initiative by the Finance Minister of factoring in wide-ranging Expenditure Reforms in the Appropriation Bill-2018, making the government legally bound to ensure time-bound public expenditure, avoid delays in execution of development works and reduce pilferages. “By setting timelines for release of money and its utilisation across the departments and executing agencies, the Finance Minister has, for the first time in the state’s fiscal history, linked expenditure reforms with allocation of funds to ensure timely and productive use of resources for the larger public good,” he said.