The opposition SAD on Monday held the fiscal policies of the Congress government in Punjab responsible for the “dismal” financial situation of the state and claimed that it was “heavily relying” on GST compensation in the wake of lack of growth in the state’s tax revenue.
It also accused the ruling party of “betraying” every section of the society by not honouring its poll promises even after over one-and-half-years of it coming to passed in coming to power.
“The government has been raising hue and cry over the poor fiscal situation of the state ever since it came to power and has been using financial crisis as an excuse for doing nothing for the state. All the policies including fiscal policies of the state government were insensitive and without any direction,” SAD leader and former state finance minister Parminder Singh Dhindsa told reporters here. “If you see the state’s own tax revenue, the growth in it is negative. There is 100 per cent reliance on GST compensation and devolution of funds by the Centre,” he said.
Claiming that the state government never made any “honest” effort to generate resources, Dhindsa said, “There is nil growth in excise revenue and growth in stamp duty collection was negative.” Punjab is the only state which is relying maximum on the the Goods and Services Tax (GST) compensation. Thirty-six per cent of the total GST collection is GST compensation. Had it not been there, the government would have gone bankrupt,” the Shiromani Akali Dal (SAD) leader claimed.
Read More at: https://www.india.com/news/agencies/cong-govt-in-punjab-heavily-relying-on-gst-compensation-sad-3426015/