Sikkim MPs meet Finance Minister seeking IT exemption for old settlers

NEW DELHI, 21 March: Sikkim MPs, Hishey Lachungpa and PD Rai, today called on Union Finance Minister Pranab Mukherjee at his office in the Parliament House after the day’s morning session of the ongoing budget session.
During the half an hour meeting, the two Parliamentarians placed a fresh memorandum requesting the exemption of Central Service Tax from retrospective date in Sikkim as well as Income Tax exemption for the old settlers.
During the discussion, the MPs also informed the FM of the several memorandums submitted by Chief Minister Pawan Chamling to the Prime Minister on these issues which are still pending with the Union Government and requested for an early resolution of the imbroglio.
The MPs also endorsed the memorandum submitted by the Joint Action Committee of All Sikkim Tourism Stakeholders before the Union Finance Minister demanding that the Central Service Tax be applicable in Sikkim from a Prospective Date, preferably from 01 April, 2012, rather than the retrospective date proposed.
The Union Finance minister was informed that summons were being issued repeatedly for collection of Central Service Tax with retrospective effect from 2006.
The MPs also cited several reasons as to why Service Tax should be implemented from a prospective date. Some of the reasons were lack of proper knowledge on Service Tax among the people of the state and the major slump on the tourism sector in Sikkim due to the devastating earthquake of September 18, 2011.
The issue of exemption of Income Tax for old settlers was also discussed with the FM. They informed that there were some 400 old settlers who have been living in Sikkim since prior to the promulgation of Sikkim Subject Regulation in 1961, and that the demand, which the Union Finance Minister was fully aware, was still awaiting a decision from the Central government.
Mr. Mukherjee was positive to the demands reiterated by the MPs and assured the two Parliamentarians that he would look into the matter and come up with some solution. [from PEMA L SHANGDERPA]

Supplementary Demands for Grants involving gross expenditure of Rs. 43,873 lakhs

GANGTOK, 19 March: The Second Supplementary Demands for Grants for the current financial year 2011-12 was presented by Chief Minister Pawan Chamling, who is also the Minister-in-Charge of Finance, Revenue and Expenditure Department, on the first day of the two-day long sessions of the Sikkim Legislative Assembly today.
The supplementary demand for grants included in this batch covers 25 Grants/ Appropriations and involves a gross expenditure of Rs 43,873.83 lakh comprising of Rs 39,531.33 lakh on Revenue Account and Rs 4,342.50 lakh on Capital Account.
After taking into account related adjustments during the current financial year, the appropriation will involve a net out go of Rs 43,873.83 lakh.
Of this net outgo, Rs 26,514 lakh will be covered through funds from North Eastern Council, Centrally Sponsored Schemes, Special Plan Assistance [newly sanctioned], Unspent balances of Special Plan Assistance/Additional Central Assistance and Grand in aid from National Disaster Response Fund.
The highest additional requirement has been sought by the department of Land Revenue and Disaster Management of Rs 36,885.08 lakh.
Twenty One Supplementary Demands totalling Rs 7390.97 Lakhs under State Plan are necessitated due to sectoral adjustments.
Thirteen Supplementary Demands include the amount required for implementation of Central Sponsored Schemes involving total outlay of Rs 1,377.45 Lakhs, three demands includes expenditure under North Eastern Council involving total outlay of Rs 220.33 Lakhs and one demand under Non-Plan includes provision for transfer to State Disaster Response Fund amounting to Rs 21,180 Lakhs.

CM calls on Finance Minister, follows up on pending demands

MUKHERJEE ASSURES TO HAVE FUNDS SANCTIONED FOR EARTHQUAKE REPAIRS RELEASED AT THE EARLIEST; CHAMLING REITERATES DEMAND FOR IT EXEMPTION FOR LEFT OUT COMMUNITY
GANGTOK, 15 Jan: Chief Minister Pawan Chamling, who is currently camped in New Delhi, called on Union Finance Minister Pranab Mukherjee on Sunday evening. Officials inform that the meeting, which began at around 5 p.m. today, covered several important issues concerning Sikkim, especially demands still pending with the Centre and other issues requiring urgent attention, all of which received a patient hearing of the Finance Minister.
The Chief Minister followed up on the demand of the State Government to extend Income Tax exemption to the left-out community of Sikkim as well. A delegation representing the left out community had called on the Union Finance Minister on Saturday with the same request [read accompanying news report for details].
The CM also brought up the still pending release of funds already sanctioned by the Centre to assist earthquake repairs in Sikkim. As mentioned, this amount has already been announced and sanctioned by Delhi, but still not yet released. The Finance Minister, it is informed, assured to expedite this process and ensure that these funds are released at the earliest.
Of these funds, the Finance Minister informed that Rs. 227.17 crore from the National Disaster Relief Fund has already been approved and that he would have it released immediately. Similarly, of the Rs. 1,000 crore earthquake relief package announced by the Prime Minister for Sikkim, Rs. 200 crore has already been approved and would now be released as soon as possible, the Finance Minister further assured.
Even the remaining Rs. 800 crore [from the package announced by the PM], will be released without delay immediately on receipt of Detailed Project Reports for its use, the Finance Minister is reported to have assured the CM.
During the meeting, the Chief Minister also briefed the Union Minister on the deplorable condition of roads maintained by central agencies in Sikkim and updated him on the Rangchang Khola bridge collapse of December 2011 which claimed eight lives.
Mr. Mukerjee is reported to have assured the Chief Minister that he would take up the matter [of Sikkim roads] with the concerned authorities at the Border Roads Organisation and direct that repairs and improvement works are expedited and quality ensured by the BRO.
During the meeting, the Finance Minister is also reported to have expressed the desire to visit Sikkim in the very near future [ideally during the Flower Show here], an interest towards which the CM expressed gratitude and extended an open invitation.

Left-out Sikkimese call on Finance Minister with request to be included in IT exemption list

GANGTOK, 15 Jan: A delegation of ‘left out’ people of Sikkim called on the Union Finance Minister Pranab Mukherjee in New Delhi on Saturday with their request to be included in the ambit of Income Tax exemption as “magnanimously granted” by the Union Government to the Sikkim Subjects and their descendents.
A press communiqué received from SDF Trade Cell general secretary, Shankar Agarwal, informs that Mr. Mukherjee extended his greetings to the people of Sikkim on the occasion of Makar Sakranti and assured to look into the matter sympathetically, pointing out that as “all facts are well known to him and he is fully informed of the issue”.
The delegation also called on Chief Minister Pawan Chamling in New Delhi. The CM reaffirmed his commitment to vigorously pursue the matter till it was finally settled as committed to the people of Sikkim, the release adds.