``Revenue collection will increase sizably'' "If VAT was not introduced, Tamil Nadu would be isolated and industrial growth and revenue collection would come down drastically which would affect the exchequer and economy of the State"
Thanjavur: The Thanjavur Chamber of Industries and Commerce has appealed to the State Government to implement Value-Added Tax (VAT) system from April 1, 2006.
In a pre-budget proposal for State budget 2006-`07 sent to the State Government, the chamber said that almost all States had adopted the VAT. The Bharatiya Janata Party-ruled States also have decided to implement the VAT from April 1.
The Chamber said the introduction of VAT had increased revenue collection considerably, widened tax base, and minimised the scope of corruption. The Central Sales Tax (CST) would be abolished in a phased manner. If VAT was not introduced, Tamil Nadu would be isolated and industrial growth and revenue collection would come down drastically which would affect the exchequer and economy of the State.
Requesting the Government to utilise the hulling agents registered with the Tamil Nadu Civil Supplies Corporation (TNCSC) fully by supplying paddy to them, the Chambe said there were 26 registered hulling agents of the TNCSC.
It also appealed to the Government to give directions to the Public Works Department and the Highways Department to issue tender documents for government works to all eligible contractors. People expect total transparency in tender procedures.
The chamber also appealed to the Government to desilt irrigation channels, construct check dams and create proper drainage system to prevent floods in the Cauvery delta districts. The Government should co-ordinate with service organisations and local associations in distributing flood relief, it added.