Iron and Steel products to cost less in the State as the State Government on Tuesday reduced Value Added Tax (VAT) on raw materials related to iron and steel products coming under Micro, Small and Medium enterprises. State Cabinet on Tuesday reduced VAT from 5 per cent to 2.5 per cent on pig iron, steel scrap, Iron ore and other similar raw materials used for the manufacturing of iron and steel products. The Cabinet gave its approval for a total of 9 proposals on Tuesday.
“Tax rates on ply boards and black board laminates has also been decreased from 14 to 5 per cent,” said the Cabinet Secretary SK Satpathy. Taxes on tobacco products on the other hand, have been increased from 20 to 22 per cent, he added.
Sathpaty further added that schemes worth Rs100 crore coming under JUVNl was also given approval by the State Government. Those projects includes installation of transformers, rehabilitation of lines, service to districts as well as overall system improvement in the department, said Satpahty.
According to Satpathy, two schemes under Rural Working Schemes were also approved by the Cabinet, where 80 per cent of the total fund is granted by NABARD under RCDF in the form of loan. The two schemes amounted to Rs120.41 and Rs250.27 crores, he said.
For assuring payments to the workers under MGNREGS, approval was also given for compensatory regulations under which a worker has to be ensured his payments within 15 days of the work done by him or her. The State Government also made Dharmshalas and Community halls free from luxury tax.
Approval for creating 12 new posts for Ramgarh District court was also given approval by the State Cabinet including the post of a District Judge.
“In order to mark the birth anniversary of father of Constitution Bhimrao Ambedkar, approval has been given for a State holiday on April 14 under the NI Act also enforcing the banks and other institutions also to remain closed on the day.
Royalty rates of bolder, gravel, earthen bricks, sand, stone bricks as well as stone dust has also been revised during the cabinet meeting. These rates were earlier revised on October 27, 2010.
“Stone dust will now attract a royalty of 12 per cent as against 10 per cent of the sale price. Similarly, royalty on sand will now be Rs 40 per cubic meter against Rs 32 fixed by the earlier government,” said Satpathy.
While an overall royalty on brick kiln has been increased by 25 per cent while on stone bolder it has increased from Rs 63 to 105, he said.