TMC supports GST even as it hums intolerance tune

Dated 18th November, 2015

The Trinamool Congress battle lines were made clear on Wednesday that while politically TMC would oppose BJP but it would not be a disruptor in the upcoming winter session of the Parliament. State finance minister Amit Mitra signaled that the party would allow important legislations like the Goods and Services Tax, party president Abhishek Banerjee continued the barrage of attacks on the centre saying the BJP government has fooled the people and so has been wiped out by the people of Bihar.

Quizzed by industrialists on the party’s stand on key amendments like the GST and Land Acquisition, Rehabilitation and Resettlement (Amendment) Bill, 2015, Mitra said that his party will consider support to the bills on logical grounds. “On logical grounds we are in support of GST because this is going to be beneficial for the state, we will stand up for it in the House,” the minister said in reply to a query at the national council meeting of FICCI. However, in case of the land bill Mitra said that the present form of the bill was untenable. “You cannot forcibly take away land from somebody, that process is not sutainable,” he said.

Mitra had earlier gone on record voicing his opposition to the GST on grounds that the  inclusion of petrol and petroleum products, entry tax and tobacco products under GST would lead to huge losses in tax revenues for the states. Including petroleum in the constitution amendment Bill may mean that the states won’t be able to levy central sales tax-a key source of revenue for states that have petroleum refineries situated within its boundaries. “There was only one point of contention that states should not lose revenue due , the current amendment says that the centre will compensate the state in case it is losing revenue, so we don’t have any objection,” the minister said today.

Mitra’s statement will be a relief for the NDA government as it is desperate to pass important legislative agendas — particularly the constitutional amendment for a goods and services tax. The centre is desperate not to let the winter session to be a washout as it anticipates a united Opposition to disrupt Parliament proceedings. The government is amenable to discussing issues of intolerance, for which Opposition parties have already moved notices. TMC with 16 Rajya Sabha seats will be a crucial support for the government.

Incidentally the issue of intolerance came up in the speech of party president Abhishek Banerjee’s speech as he addressed a political rally. Hitting out at the centre he said the people have been fooled in the name of Achhe din. “Just because someone is elected to from govt at Centre doesn't mean they can tell us what to eat and what to wear,” Banerjee said.

(This article is published in The Business Standard on 18 Nov, 2015)