GST: Govt must compensate civic bodies’ losses, says Gupta

Special session today; Opposition planning to corner govt on several issues

May 31, 2017 01:46 am | Updated 01:46 am IST - New Delhi

NEW DELHI, 28/03/2017: BJP leader Vijender Gupta addressing a press conference on A.G. Noorani and Arvind Kejriwals issue at party office in New Delhi on Tuesday. 
Photo: Sushil Kumar Verma

NEW DELHI, 28/03/2017: BJP leader Vijender Gupta addressing a press conference on A.G. Noorani and Arvind Kejriwals issue at party office in New Delhi on Tuesday. Photo: Sushil Kumar Verma

Leader of the Opposition Vijender Gupta urged the Delhi government to take the financial concerns of civic bodies into account while passing the Goods and Services Tax (GST) Bill during the one-day special session of the Assembly on Wednesday, even as he declared that the four-member Opposition intends to corner the government over several issues.

The Delhi government should, Mr. Gupta said, declare “adequate compensation” to the three municipal corporations in the Assembly session as the new tax regime will bring the theatre tax and advertisement tax under the purview of the Delhi government.

‘Moral obligation’

“At present, the two taxes are being recovered by the local bodies. It is the moral and legal obligation of the Delhi government to transfer the funds to the local bodies so that they can perform their functions at least at the present pace,” Mr. Gupta said.

Many States have already taken the concerns of the local bodies into consideration and assured “adequate compensation” to them in the wake of the implementation of the GST, the Rohini MLA argued, citing the example of the Maharashtra government which has made a similar assurance to the local bodies.

Toll tax collection

“The Delhi government could also follow suit. It should also assure the municipal corporations that the toll tax will continue to be collected by the local bodies. They have already written to the Fifth Delhi Finance Commission to take care of their interest on these lines,” the Leader of the Opposition said.

The Opposition has also decided to demand that the Delhi government refrain from “unnecessary criticism” of the Centre in relation to the implementation of the tax regime.

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