The Legislative Assembly on Friday ratified the Goods and Services Tax (GST) bill amid a walkout by the All India Anna Dravida Munnetra Kazhagam as a mark of protest against introduction of the Bill.
Immediately after zero hour, Chief Minister V. Narayanasamy moved a resolution seeking ratification of the Constitutional amendment bill.
After admitting the resolution, Speaker V. Vaithilingam allowed for a debate on the Bill.
Participating in the debate, Congress member K. Lakshminarayanan said the territorial administration should get it clarified from the Centre whether there would be a loss that would accrue to the UT exchequer by joining the GST regime. He urged the administration to take precautionary measures.
AIADMK legislature party leader A. Anbazhagan said the UT had incurred a huge loss after opening a separate Public Accounts. After opening the account, the Union Government reduced the grant component from 70 per cent to 30 per cent.
Before opening the account, the funding pattern was 30 per cent loan and 70 per cent grant from the Centre, he said.
The AIADMK leader said the resolution was adopted without applying thought and soon after making his point, staged a walkout along with party legislators.
DMK member R. Siva urged the government to create awareness among traders and assist them to switch over to the new taxation procedure.
Winding up the discussion, Mr. Narayanasamy said the bill was framed when the United Progressive Alliance led by the Congress party was in power. The National Democratic Alliance took steps to implement GST and finally it was passed by Lok Sabha on March 6 and later by Rajya Sabha on August 3.
Majority of the States and Union Territory of Delhi have already ratified the Bill, he said.
While participating in the Finance Ministers conference, he had sought a compensation for the next five years.
The Union Finance Minister has agreed to UT’s request for bringing industries with a turnover of Rs. 10 lakh under the GST regime. The territory could also levy on liquor and impose service tax, he said adding there was no need to be concerned as the Union Government had promised to provide compensation for the next five years. The motion was then adopted on a voice vote.
