The AIADMK has demanded a probe by the Central Bureau of Investigation (CBI) into the alleged evasion of taxes by the tobacco manufacturing companies.
Involved in pilfering
They were involved in siphoning off products to Tamil Nadu and depriving the state of its source of income, the party alleged.
Talking to reporters here on Tuesday, AIADMK Legislature Party leader Anbalagan alleged that the tobacco manufacturing companies were indulging in malpractices.
They were billing their products in Puducherry and selling them in the neighbouring state, thus making use of the low tax structure in the Union Territory.
The tax of cigarettes in Puducherry is 20 per cent as against 27.5 per cent in Tamil Nadu.
Fall in sales
According to a query under the Right to Information Act, the total sales from cigarettes was Rs.1,785 crore in 2015, Rs.722 crore in 2014 and Rs.322 crore in 2013 in the Union Territory.
It is thus evident that the tobacco manufacturing companies were indulging in malpractices and had evaded taxes to the tune of as much as Rs.200 crore annually.
Mr. Anbalagan also wanted the government to raise the tax on cigarettes on a par with the tax structure in Tamil Nadu to prevent tax evasion.
He also disputed the claim of Chief Minister Narayanasamy that there was no difference of opinion between the elected Ministry and the Lieutenant Governor.
New Delhi visit
He also wondered why the Chief Minister and the Lt. Governor had met Union Ministers in New Delhi separately during their recent visit.
The budget was yet to be tabled although more than two months have passed since the new government came to power.
