From Our Correspondent
Itanagar, April 20: Arunachal Pradesh will immensely benefit through Goods and Services Tax (GST) regime to be implemented across the country on July 1, chief minister Pema Khandu said on Wednesday. “GST, which is a destination-based tax, will increase the tax revenue of a consumer state like Arunachal,” he said during the 5th departmental review meeting of Tax, Excise and Narcotics department held at the Banquet Hall here.
Khandu, who is also the minister for Tax and Excise, predicted huge jump in total revenue collection from the provisional figure projected at Rs 636 crore for the current financial year, an official report informed here on Thursday. After the implementation of GST, the projected growth of excise revenue is likely to increase to Rs 250 crore in the current financial year from the previous year’s figure of Rs 105 crore, Khandu said.
“Tax and Excise department accounts for 94 per cent of our state’s own resource,” he said and appealed the department officials to gear up to work under the new tax regime so that they may contribute immensely in raising the taxation revenue of the government. He specifically urged them to work with the businessmen, to make them aware of the new taxation laws. “Tax and Excise department used to be labelled as a corrupt department, but that will be a story of the past once the GST is implemented,” Khandu said and expressed confidence that GST will make business more transparent and the new tax system would check corruption to a great extent. He also spoke on several key challenges in successful implementation of GST in the state. “IT connectivity issues remain the biggest challenge,” the chief minister pointed out that the state was facing great hindrances while preparing for IT infrastructure due to difficult terrain.
Khandu said the state government has sought Centre’s intervention for providing temporary IT facilities through VSAT services in remote locations where cable connectivity is difficult to reach at the earliest. Also to make the department efficient to implement GST, the chief minister assured meeting manpower shortages that were highlighted by parliamentary secretary for Tax and Excise Tapak Taku in his speech earlier.
Khandu further announced he would, in the Cabinet meeting to be held in May, approve creation of more posts, the report added.