Shri Rangila Ram Rao, Excise and Taxation Minister said that State Government had suggested the Empowered Committee at Centre that it would be extremely useful if model Vat rules were prepared. He was speaking in a meeting of Finance /Excise and Taxation Ministers, Secretaries and Commissioners of Sales Tax/Vat held at New Delhi today.
Rao said that revenue collected under Vat and the growth rate of income during the year 2006-07 upto September 2006 was Rs.397 crore in comparison to the income of Rs. 301 crore during the year 2005-06 and the growth rate of Vat was 32% in the State during the year 2006-07.
Rao said that not only the supply of C form had been regular and un-interrupted during the year 2005-06 and subsequently but also utilization of C Forms issued had considerably increased and there was no deficiency in the availability of C Forms in the State and printing of these forms was also being undertaken to keep the stock of C Forms adequate. He also said that registered dealers in the State had increased to 42135 after 1st April, 2006 to 30th September, 2006, the cumulative increase in number of dealers had been 7533 and there was 21.77% increase in comparison to the year 2005-06.
Excise and Taxation Minister said that State would be losing heavily on account of CST phasing out and urged the Empowered Committee that Government of Himachal Pradesh should be fully compensated for the current accumulative and year wise losses.
Shri Rao said that Himachal Pradesh Government may be empowered to impose generation duty on hydel generation in the State which would benefit the State between Rs. 1500 to Rs. 2000 crore per year.