GoM formed to look into Kerala's demand for calamity cess: Arun Jaitley
New Delhi, Sep 28: The GST Council on Friday decided to set up a seven-member Group of Ministers (GoM) to look into Kerala's demand for imposing an additional cess over GST to meet the financial requirements in case of a natural calamity.
Apart from senior union ministers, the committee would comprise members from the North Eastern, hill and coastal states which are most vulnerable to natural calamities, Finance Minister Arun Jaitley told reporters here after the council meeting.
He said the GoM would evaluate all possibilities and present its recommendations in the next few weeks after which another meeting of the GST Council will be called.
Jaitley said it was important to have a mature view on the issue instead of acting in haste as this would set a precedent for future natural calamities as well.
The Minister said that while there were various views among the council members, all states agreed that something must be done to address the devastating Kerala floods and similar calamities in future.
"One view expressed in the Council was 'Must the entire burden be borne by the people of the state suffering from natural calamities?'. There was a counter view that this defies the one-nation one-tax principle," Jaitley said.
He added another view was whether there should be an all-India levy and should it be confined only to some luxury and sin products or on all products.
"There was also a discussion on if the cess should be imposed in the case of all natural calamities or if there should be a distinction. For example, if one or two districts of a state are affected, should there be a levy in that case," he said.
The Minister said there was a need to have best legal methodologies to address the issue while keeping the constitutional provisions in mind.
He said there was currently a provision to have earmarked funds for natural calamities on state as well as national level in the form of State Disaster Relief Fund (SDRF) and National Disaster Relief Fund (FDRF) which have nothing to do with taxes.
Jaitley said the GoM would also consider if the SDRF and NDRF mechanism were sufficient to address the issue or if more was needed to be done.
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Another North Goa nightclub sealed; Kejriwal says corruption led to fire tragedy
Panaji (PTI): As part of a crackdown against tourist establishments violating laws and safety norms in the aftermath of the Arpora fire tragedy, Goa authorities on Saturday sealed a renowned club at Vagator and revoked the fire department NOC of another club.
Cafe CO2 Goa, located on a cliff overlooking the Arabian Sea at Vagator beach in North Goa, was sealed. The move came two days after Goya Club, also in Vagator, was shut down for alleged violations of rules.
Elsewhere, campaigning for local body polls, AAP leader Arvind Kejriwal said the fire incident at Birch by Romeo Lane nightclub at Arpora, which claimed 25 lives on December 6, happened because the BJP government in the state was corrupt.
An inspection of Cafe CO2 Goa by a state government-appointed team revealed that the establishment, with a seating capacity of 250, did not possess a no-objection certificate (NOC) of the Fire and Emergency Services Department. The club, which sits atop Ozrant Cliff, also did not have structural stability, the team found.
The Fire and Emergency Services on Saturday also revoked the NOC issued to Diaz Pool Club and Bar at Anjuna as the fire extinguishers installed in the establishment were found to be inadequate, said divisional fire officer Shripad Gawas.
A notice was issued to Nitin Wadhwa, the partner of the club, he said in the order.
Campaigning at Chimbel village near Panaji in support of his party's Zilla Panchayat election candidate, Aam Aadmi Party leader Kejriwal said the nightclub fire at Arpora happened because of the "corruption of the Pramod Sawant-led state government."
"Why this fire incident happened? I read in the newspapers that the nightclub had no occupancy certificate, no building licence, no excise licence, no construction licence or trade licence. The entire club was illegal but still it was going on," he said.
"How could it go on? Couldn't Pramod Sawant or anyone else see it? I was told that hafta (bribe) was being paid," the former Delhi chief minister said.
A person can not work without bribing officials in the coastal state, Kejriwal said, alleging that officers, MLAs and even ministers are accepting bribes.
