Govt’s fresh bid for consensus on GST; calls All Party Meet on June 29

*Jaitley again speaks to DyCM, asks for meeting deadline

Neeraj Rohmetra
JAMMU, June 27: The Government has decided to make fresh attempt to evolve consensus on implementation of Goods and Services Tax (GST) by calling another All Party Meeting (Consultative Group) on June 29, just a day before the deadline for implementation of new tax regime throughout the country for which a big function has been planned by the Centre on the intervening night of June 30 and July 1 at Parliament Hall.
This will be the third APM called by the State Government in about a fortnight on the GST as Jammu and Kashmir is the only State in the country, which hasn’t endorsed ‘One Nation, One Tax’ norm so far while all other States and Union Territories have approved the proposal.
Official sources told the Excelsior that Finance Minister Dr Haseeb Drabu has written to all party representatives, who were part of the Consultative Group meeting held on June 24, inviting them again for fresh round of consultations on June 29 at 4 pm at Nehru Guest House in Srinagar. June 24 meeting was boycotted by two major Opposition parties—the National Conference and Congress on the ground that they hadn’t been supplied with relevant material like draft legislation, safeguards taken for State’s fiscal autonomy and Special Provisions.
This time, however, the Finance Minister has attached number of documents pertaining to the GST along with letters inviting representatives of various political parties to the Consultative Group meeting.
“The Chief Minister has decided that all issues related to implementation of the GST be settled in time bound manner for which the Consultative Group meeting was held on June 24. Another meeting has been convened at 4 pm on June 29. To make the deliberations meaningful and constructive, I reiterate my request to Consultative Group members to share your thoughts/other alternatives in writing,’’ the letter addressed to invitees by Dr Drabu, said.
Sources said Gazette Copy of the GST and documents titled Constitutional Amendment 101 in Jammu and Kashmir—A Way Forward, Non-Paper on GST, Salient Features of GST, Advantages for the State of Jammu and Kashmir if GST is Implemented and Measures for Protection of Trade and Industry in the State under GST are the major documents, which have been submitted to the Consultative Group members, two days ahead of the meeting.
Sources didn’t rule out the possibility of Jammu and Kashmir missing July 1 deadline for implementation of the GST by few days saying the Government don’t want to take any step in haste but, at the same time, it was very clear that there would be chaos in the State even leading to shortage of essential commodities if the new tax structure was not implemented by July 1.
“The Government could take a week or so to implement the new tax regime but during those days, the traders and consumers could suffer a lot as traders from entire country will be unable to do trade with businessmen of Jammu and Kashmir in view of double taxations,’’ sources pointed out.
They said Finance Minister Arun Jaitley, who had yesterday shot off a letter to Chief Minister Mehbooba Mufti seeking implementation of the GST by July 1, today again spoke to Deputy Chief Minister and BJP veteran Dr Nirmal Singh and called for taking all steps for implementation of the GST in the State within the deadline.
Meanwhile, sources said some senior bureaucrats of the State have also met Opposition leaders including Omar Abdullah and G A Mir and explained them the impending threat of shortage of essential commodities and sufferings of both traders and consumers due to delay in implementation of the GST.
Sources pointed out that there was no legal provision for remaining out of the GST.
“Even delay in implementation of new tax structure will disrupt entire set up in the State and movement of goods to Jammu and Kashmir from any of the State wouldn’t be possible. There is IGST beyond Lakhanpur. Inside Lakhanpur, there is vacuum. How the system will function in such a situation?’’ they asked.
It may be mentioned here that the State Government had called Special Session of the Legislature from June 17-20 for debate on the GST followed by its approval. Prior to the Session, it had called an all party meeting on June 13 to evolve consensus, which eluded with some of the Opposition parties opposing implementation of the GST without safeguards of Special Provisions of the Constitution applicable to Jammu and Kashmir.
The Session was adjourned sine die within couple of hours on June 17 without even tabling of the GST bill.
The Government also held Consultative Group meeting on June 24 to evolve fresh consensus on the GST but main Opposition parties, National Conference and Congress abstained from it.
The BJP has already asked the Government to bring out an Ordinance on the GST and ensure its implementation by July 1.

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