Give tax concession to Goan Industries : Goa MP

Mr. Shantaram Naik M P has demanded that the Central Government should create a level playing field for all the industrial units established in various parts of the country by discontinuing the special tax exemptions given to the industrial units in certain states, if concession cannot be given to Goa.

Mr. Naik who was participating in a meting of the Consultative Committee on Finance convened by Finance Minister Shri Pranab Mukherjee in New Delhi on Monday, to consult members of the committee on forthcoming budget, said that after the tax benefits given to the industrial units in Goa were withdrawn, Goan units were put in a tremendous disadvantageous position.


Mr. Naik, who is a member of Consultative Committee on Finance said that the Central government had assured Goa that this concession given to some states would be withdrawn and a level playing field will be created. But the assurance did not materialize , he said.

Mr. Naik also raised the issue of export duty of 10% recently levied on low grade iron by the Central Government and said that the mining industry was the only economic activity which is in existence since Portuguese times and that tourism industry has surfaced only recently.

Mr. Naik said he was not concerned about the profits which mine owners make or do not make, but he is concerned about two lakh people who directly or indirectly depend upon the mining activity in the State

Mr. Naik said that the government should consider that low grade iron ore has no market in the country and that it is necessarily required to be exported.

Mr. Naik said that people in the country should be made aware about the the fundamentals of budgeting through awareness programmes specially as to why the government feels a need to levy a particular tax, and further, as to how the money so collected is utilised.

Mr. Naik told Mr. Mukerjee that if his next budget contains one or two minus points with rest of the budget proposals being excellent, by the evening of the day of presentation of budget electronic media will reduce your budget to zero by asking the man in the street questions moulded in such a manner that replies to which always tend to be critical of the government and the budget.

At the outset, Mr. Naik said, that when Mr. Mukerjee took over as Finance Minister it was expected that his budget will not be budget consisting of mere figures but it will be a budget with human approach, and that, those who thought it so proved to be righMr. Naik said that he hoped that in this years budget too the Finance Minister will keep human face in mind.

Mr. Mukherjee, as stated by him in his opening remarks, did not react to specific suggestions of the members in view of the fact that he has to maintain total secrecy about his forthcoming budget but Mr. Mukherjee agreed with Mr. Naik’s suggestion about educating people regarding budget mechanism.