State Finance Minister Prakash Pant participated in a State Finance Ministers meeting on Goods and Service Tax (GST) presided over by the Union Finance Minister Arun Jaitley in Delhi on Friday. During the meeting the union finance minister assured that the union government would try its best to mitigate the state’s loss due to GST.
In the meeting Pant explained the state’s view on GST along with the representatives of other states. He said that in view of tough geographical condition investors keep demanding special economic package from the state for establishing industries in the state. Due to industrial package 3156 industries had got relief in excise duty amounting to about Rs 11,000 crore in the year 2015-16. With the implementation of GST, which were getting relief in excise duty, would not get it. Thereafter Finance minister has assured that excise duty’s 58 per cent relief would be borne by the union government and remaining 42 per cent would be borne by the state.
Pant said that the State government is going to come out with new excise policy as per the expectations of the people of the state in the next one month. In view of revenue loss due to high court’s order dated November 8, 2016, in which court had imposed blanket ban on the sale of liquor in three districts -- Uttarkashi, Rudraprayag and Chamoli, the State government had challenged the order in apex court and court has given stay on high court’s order. It means now there is no ban on sale of liquor in the above mentioned three districts.