Kashmir politics takes its toll- A clean sweep at Lakhanpur Toll Plaza
NL Correspondent
SRINAGAR: While India started march on new beginning on GST, the Jammu and Kashmir state preferred to remain entangled in archaic tax regime to satisfy its ego of being a special state even at the cost of progressive economic initiative. The non-implementation of the Goods and Services Tax (GST) would lead to food shortage in Jammu and Kashmir.
The 24 x7 active gateway of Jammu at Lakhanpur Toll post, gave a deserted look as the trading community in rest of the country was not in a position to send goods to the state in absence of GST regime in Jammu and Kashmir. Similarly, state traders and manufacturers failed to export any product to outside market.
A special five-day session has been convened from Tuesday to discuss the GST and evolve the consensus. If the GST is not rolled out in the coming days in the state, the state would face crisis like situation of food shortage as many multi-national companies have stopped of sending goods to the state.
The Jammu and Kashmir is the only state in India that could not implement the GST from July 1, resulting many multinational companies have “stopped” sending their goods to JK.
Deputy Excise Commissioner, Toll Post, Lakhanpur, Rajesh Sharma, said there has been “drastic decline” of goods being imported into J&K.
“On an average 2000-2500 trucks would enter into JK in a day but there has been around 50 percent reduction in their number in the last three days,” Sharma said.
Similarly, he said there has been 50 percent decline on goods being exported from JK. “The goods that were imported till Sunday had bills issued before June 30,” he added.
Assistant Commissioner, Central Excise Division, Srinagar, Jaipal J, said in absence of the GST, the consumers have to pay the double tax in the state.
“They have to pay the double taxes on both imports and exports. Goods coming from outside will be first charged by the GST then subsequently the state will levy its own taxes which will make the products costlier,” he said.
He said if the traders sell the goods above the MRP they could face action from the Legal Meteorology.
According to some reports, most of the FMCG, MNCs and the car makers have stopped supplies to J&K. Even the traders especially in Jammu have stopped supplying the items to the customers for want of billing pattern under the GST regime.
The government has so far failed to evolve the consensus for implementation of the GST in view of opposition from Kashmir centric political parties and Trade bodies of the valley. They said the GST, if implemented in the present form would erode the financial autonomy of the state. Now, the GST draft would go to the assembly for discussion from Tuesday. Finance Minister Haseeb Drabu has said the GST would be rolled out before July 6 in the state.
