GANDHINAGAR, July 28: Gujarat Finance Minister Vajubhai Vala today announced in the State Assembly total tax relief of Rs 5 crore in the levy of sales tax in the state.The Gujarat Appropriation Bill, 1998, was passed by the House unanimously in the absence of Opposition members, who continued to boycott the house on the second day today.
Vala announced the proposed levy of four per cent tax on fabrics. In the state budget, Vala had withdrawn exemption on sales tax on fabrics. This was dropped following representation by members of the House and trade organisations.
The facility of form number 19 for the purchase of goods had been cancelled. At present manufacturers purchase raw materials without paying tax by producing the form. This would be continued and a bill to this effect would be moved in the House later, he added.
Vala also announced reduction in purchase tax from six to four per cent on raw materials under section 15 (b). The sales tax relief will bring down the proposed increase of the taxby Rs 20 crore in the budget for the year 1998-99 to Rs 15 crore.
Later the House passed the Appropriation Bill, 1998 authorising payment and appropriation of Rs 12042.85 crore out of the consolidated fund of the state for services of the financial year ending on March 31, 1999.
As the Opposition members from the Congress, Janata Dal, Rashtriya Janata Party, Samajwadi Party, and three independents, stayed away from the House, it was adjourned by speaker Dhirubai Shah immediately after completing the day's business on the agenda. The Appropriation Bill was passed in a record time of 15 to 20 minutes.
Meanwhile, the Gujarat Government is incurring a loss of Rs seven crore to eight crore per day due to stoppage of work on the Narmada dam in the state, Narmada Development Minister Jaynarayan Vyas told the state assembly today.
The government had already spent Rs 6,500 crore on the project, Vyas said while replying to a question by Naranbhai Patel (BJP) during question hour.
The work on the dam hadhalted at 80.30 metres at the flow level, he said.
Vyas said as the Narmada issue was in the Supreme Court there was no fixation of target of work for 1998.
With the completion of the main dam, 8,215 villages and 135 cities would get drinking water, he added.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.