Differences in coalition partners over GST due to divergent stands

*BJP high command conveys displeasure

Sanjeev Pargal

JAMMU, June 19: As deadline for implementation of Goods and Services Tax (GST) is set to expire in next few days and no major initiative has been taken by the State Government to switch over to new tax regime by July 1, differences have surfaced between two coalition partners, the PDP and BJP with latter wanting Chief Minister Mehbooba Mufti to get an Ordinance issued if it was not possible to get Legislature nod to the GST before June 30.
The GST being prestigious issue for Narendra Modi Government at the Centre, the BJP high command was seriously concerned over delay by Jammu and Kashmir Government, where BJP is a coalition partner, in implementation of the GST when majority of Opposition and even Congress-ruled State Governments have given nod to the Act, which will be rolled out nationwide on July 1.
Official sources told the Excelsior that top BJP functionaries in the power have approached the Chief Minister after speaking to Finance Minister Dr Haseeb Drabu and Parliamentary Affairs Minister Abdul Rehman Veeri demanding that the Government should take Ordinance route after adjournment of the two Houses of the Legislature sine die to give nod to the GST as it was prestigious ‘One Nation, One Tax’ scheme of Modi Government.
“Not only the Central Government representatives, even the BJP high command is also understood to have taken serious exception to the State Government’s decision to succumb to ‘unnecessary pressure’ from certain quarters to adjourn the Legislature sine die and defer approval of GST Act,’’ sources said, adding that the senior BJP functionaries have spoken to the State BJP Ministers and leaders and wanted them to exert pressure on the Chief Minister to take the Ordinance route for roll out of the GST by July 1.
The BJP high command, according to sources, has conveyed their concerns to the party leadership and wanted them to brief the Government that delay in rollout of the GST from July 1 deadline in Jammu and Kashmir would send a very “wrong message’’ not only in the country but at the international level that J&K has not endorsed the Act, which has nod of all other Indian States. Moreover, they have pointed out that 168 nations have adopted the GST.
According to sources, the GST has led to differences between both coalition partners as the PDP has stuck to its stand that it would first like the draft legislation to be debated and discussed by the All Party Committee (APC) before being brought again to the Legislature for approval.
The PDP has virtually ruled out taking the Ordinance route and conveyed to the BJP Minister and leaders that delay by few days in implementation of the GST wouldn’t lead to chaos. However, the top PDP functionaries in the Government have made it clear that they were committed to implementation of new tax regime but this could take some time.
Pointing out that the BJP had vehemently opposed the decision of Parliamentary Affairs Minister Abdul Rehman Veeri for adjourning the Legislature sine die on June 17, sources recalled the BJP Ministers wanted that the Special Session should be adjourned for few days and convened again after Eid to pass GST and ensure it rollout by July 1. However, according to sources, the PDP didn’t agree to the BJP suggestion and conveyed the Government decision to the Speaker that the House had to be adjourned sine die after Obituary Reference.
According to sources, the PDP Ministers have made it clear to the BJP functionaries that they were not averse to implementation of the GST but, at the same time, they want tampers to calm down in Kashmir to ensure that simmering unrest don’t flare-up that could lead to more trouble in the Valley. However, the BJP was of the view that delay in rollout of the GST beyond July 1 would cause major embarrassment to the party, which was taking credit for simplification and implementation of one tax regime all across the country from July 1.
Meanwhile, the Government hasn’t officially issued the notification announcing composition of All Party Committee (APC), which would discuss and debate the GST before deciding on its implementation. Though the Government has finalized that the Panel would be headed by former Finance Minister and PDP MP Muzaffar Hussain Baig, it has not formally issued the Government order.
“In the absence of Government order, the APC hasn’t met even a once and there were remote chances that it could meet shortly,’’ sources said.