NE MP’s Forum writes to PM seeking 5-year breather from service tax for tourism sector

source:Sikkim Now

GANGTOK, 12 June: Member of Parliament (Lok Sabha ), PD Rai, interacted with media persons at his residence HEREyesterday and discussed various issues concerning the North Eastern states and the role of DoNER.
“North East MPs Forum is working on larger issues of the region and most of the meetings of the forum are being held in New Delhi at regular intervals,” he informed.
On being asked about the service tax being raised from tourism service providers [an issue raised by TAAS recently], he said that the stakeholders and local operators are now making it a habit to pay their taxes on a prospective basis and not on retrospective. He also ruled out the occurrence of double taxation.
He also shared copies of a letter to the Prime Minister recently in which the NE MP’s Forum has raised the issue and prayed for relaxations.

The letter, dated 25 May, argues that the nascent sector of tourism is being taken advantage of by young people and weaning them away from violence in the region. “This is not the time to tax them with service tax,” the letter argues, pointing out that many of youth, the first generation in the service-sector do not even know how to keep books of accounts.
“Hence, there is a need to give a window of about five years to prepare the young people. There is palpable anger amongst this section of the population. We, as their representatives, have to therefore bring this to your notice,” the letter concludes.
He expressed that he has taken many issues with regard to the development of Sikkim to the Parliament and further pledged to keep in touch with the media persons in the days to come and keep them updated on every proceeding and issue raised by him in the house