Karnataka for higher tax on luxury goods as Covid hits revenue

News Network
August 28, 2020
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Yediyurappa

Bengaluru, Aug 27: Cash-starved Karnataka on Thursday urged the Central government to increase GST on luxury goods to make up for the revenue shortfall caused by the Covid-19 pandemic, an official said on Thursday.

"State Home Minister Basavaraj Bommai, who represents Karnataka in the GST Council and participated in its 41st meeting through video conferencing on Thursday, told Union Finance Minister Nirmala Sitharaman to put more tax on luxury goods, tobacoo and pan masala for increasing the revenue and compensating states like Karnataka, which have been hit by the pandemic," a finance department official said.

Admitting that the Covid-induced lockdown since March 25 and its extension till May 31 impacted revenue collection due to subdued economy and continued restrictions on a number of tax generating activities, Bommai said the state would miss the revenue target of Rs 1.8 lakh crore set for this fiscal (2020-21).

"With the war on containing the pandemic costing the state heavily, the Centre has to compensate us to make up for the revenue shortfall from lower tax collection in Covid times," Bommai told the Finance Minister, who is a Rajya Sabha member from the southern state.

Though Chief Minister B.S. Yediyurappa also holds the finance portfolio and presented the state budget for this fiscal in the Assembly on March 5, he could not attend the GST Council meet as he is resting after recovering from Covid-19 earler this month.

Goods and Service Tax (GST) compensation for the state since April is Rs 13,764 crore, and its collection in the first four months was 71.61 per cent.

"The Centre should borrow more to compensate the state, which is reeling under financial crisis due to Covid disrupting life, livelihood and the economy and causing untold hardship since mid-March," Bommai said.

A special cess is levied on the highest tax slab of 28 per cent on luxury goods to compensate the states for the revenue loss due to the GST subsuming state's taxes and local levies.

"A reduced share in Central taxes, delay in GST compensation and loss of revenue due to the Covid-19 lockdown have pushed the state into financial stress," added the official, citing the minister.

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News Network
September 20,2024

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Mandya: The Deputy Superintendent of Police of Nagamangala town in Mandya district has been suspended for "negligence and dereliction of duty" in connection with the clashes that broke out between two groups during a Lord Ganesh idol procession, police said on Friday.

This is the second suspension of a police officer over the clashes on September 11 following which mobs went on a rampage targeting several shops and vehicles leading to tension here.

The situation in the town has since returned to normalcy and most of the shops have started operating. However, adequate security forces continued to be stationed here as a precautionary measure, according to police.

Sumeeth A R, DySP (Nagamangala), was suspended on Thursday for negligence and dereliction of duty, Mandya Superintendent of Police Mallikarjun Baldandi told PTI.

"He (Sumeeth) was not present at the spot nor was he at the police headquarters when the incident occurred. He arrived late at the spot despite the sensitive nature of events," he said.

Earlier, Police Inspector Ashok Kumar posted at Nagamangala town police station was suspended for dereliction of duty in connection with the violence.

A total of 55 people have been arrested in connection with the incident.

According to police, an argument broke out between two groups, when the Ganesh idol procession by devotees from Badarikoppalu village reached a place of worship on September 11, and some miscreants hurled stones, which escalated the situation.

The police had used mild force to disperse the crowd to control the situation.

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News Network
September 19,2024

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Narendra Modi-led government of India has abstained in the UN General Assembly on a resolution that demanded that Israel bring an end, “without delay”, to its unlawful presence in the Occupied Palestinian Territory within 12 months.

The 193-member General Assembly adopted the resolution, with 124 nations voting in favour, 14 against and 43 abstentions, including that by India.

Those abstaining included Australia, Canada, Germany, Italy, Nepal, Ukraine and the United Kingdom.

Israel and the US were among the nations who voted against the resolution titled ‘Advisory opinion of the International Court of Justice on the legal consequences arising from Israel’s policies and practices in the Occupied Palestinian Territory, including East Jerusalem, and from the illegality of Israel’s continued presence in the Occupied Palestinian Territory’.

The resolution adopted Wednesday demanded that “Israel brings to an end without delay its unlawful presence in the Occupied Palestinian Territory, which constitutes a wrongful act of a continuing character entailing its international responsibility, and do so no later than 12 months from the adoption of the present resolution.” 

The Palestinian-drafted resolution also strongly deplored the continued and total disregard and breaches by the Government of Israel of its obligations under the Charter of the United Nations, international law and the relevant United Nations resolutions, and stressed that such breaches seriously threaten regional and international peace and security.

It recognised that Israel must be held to account for any violations of international law in the Occupied Palestinian Territory, including any violations of international humanitarian law and international human rights law, and that it “must bear the legal consequences of all its internationally wrongful acts, including by making reparation for the injury, including any damage, caused by such acts.”

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News Network
September 16,2024

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In a heart-breaking incident, 19-year-old Shaun D'Souza, a native of Vittalwadi in Udupi's Kundapur taluk, tragically lost his life in the UAE due to heat stroke.

Shaun, the beloved son of Elias Cyril D'Souza and Pramila D'Souza, originally from Hosabettu, Moodbidri, had been pursuing his college education in the UAE.

He was admitted to a hospital in Ras Al Khaimah, approximately 115 km from Dubai, after collapsing from heatstroke. Despite receiving immediate medical attention, Shaun breathed his last on Sunday, September 15. 

He is deeply mourned by his parents and two siblings. The family, who had been residing near St. Mary's Church in the UAE, are grappling with the profound loss. Shaun’s father, Elias, works as a manager for a private company, while his mother, Pramila, is an accountant.

The local community has come together to offer their support and condolences in this time of sorrow.

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