To seek Goods and Services Tax (GST) exemption on langar purchases, the Shiromani Akali Dal (SAD) would soon meet Union Finance Minister Arun Jaitley. At the same time, the party has asked the Punjab Government to fulfil its responsibility by getting the exemption done through the GST Council.
SAD president Sukhbir Badal said SAD MPs and MlAs would meet Jaitley soon and request for exemption to Shiromani Gurudwara Parbandhak Committee (SGPC) from paying GST on ‘langar’ purchases.
“We are duty bound to convey the wishes of lakhs of devotees on this issue to the Centre. However, what needs to be understood is that it is the Congress Government which has to get this exemption passed in the GST Council,” he said.
Sukhbir pointed under the new GST regime, States have a weightage of 66 per cent to influence all decisions in the GST Council vis-à-vis the Centre which has a weightage of only 33 per cent.
He said though the Chief Minister Capt Amarinder Singh had written to the Union Finance Minister seeking exemption for the SGPC, it would be better if he directed his Finance Minister Manpreet Badal to get this done in the GST Council.
“The Council allows each State to put forward its demands for grant of relief on specific items. However, relief can only be granted if the appropriate case is put up before the Council, which has not happened yet in the case of granting exemption for langar items,” he added.
Stating that the issue of extending exemption to SGPC was being raised consistently by the SGPC since the last one fortnight, Sukhbir said that Manpreet should have filed a representation before the GST Council till now.
Sukhbir said that if Manpreet Badal was serious siding with the Sikh community, he should ask the GST Council to forfeit the State share in the GST immediately as a first step.
“This can be followed up with the demand for complete exemption. Even a 50 per cent exemption from GST to the SGPC will give it substantial relief as it purchases ‘desi ghee’, sugar, dry milk and pulses to the tune of Rs 75 crore annually. Forfeiture of the State share would halve the GST of Rs 10 crore which is likely to be applicable on SGPC if it does not get any exemption,” he said.
Stating that the Congress government needed to be more sensitive to the sentiments of the Sikh sangat, Sukhbir said that the earlier SAD-BJP government had granted exemption to the SGPC from paying VAT on all purchases made by it for langar purchases.