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 19,2024

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In a grand celebration of patriotism and local pride, Karnataka’s second tallest flagpole, and the tallest in Dakshina Kannada, was officially inaugurated on Wednesday, September 18, at the iconic Kadri Park in Mangaluru.

The event, a significant milestone in the city's Smart City journey, was graced by several prominent leaders. MP Capt Brijesh Chowta, a distinguished guest at the inauguration, spoke passionately about the symbolic importance of the flag. "This towering structure, made possible through the Smart City initiative, elevates the pride of every Indian. Since Prime Minister Narendra Modi took office, national sentiment has deepened. The national flag is not just a symbol, it embodies our self-respect and unity as a nation."

MLA Vedavyas Kamath shared his enthusiasm for the project, emphasizing its importance beyond mere construction. "The flagpole at Kadri Park, funded under the Smart City project, will not only serve as a beacon of patriotism but will also become a significant attraction, enhancing the city's tourism appeal."

Adding to the sense of occasion, Mayor Sudhir Shetty proudly highlighted the monument's grandeur. "Standing at an impressive 75 meters, second only to Belagavi's 110-meter flagpole, this new landmark is a testament to Mangaluru's growth and aspirations. The project, which cost Rs 75 lakh, will feature an advanced lighting system, ensuring it shines brightly, day and night, as a symbol of our national pride."

The ceremony saw the attendance of key dignitaries, including Deputy Mayor Sunita, Standing Committee President Bharath Kumar, Varun Chowta, Ganesh Kulal, MCC opposition leader Praveen Chandra Alva, MCC member Shakeela Kava, former Mayor Jayananda Anchan, Bhaskar K, and former MUDA president Ravishankar Mijar, each contributing to the significance of the occasion.

This towering flagpole, nestled amidst the serene beauty of Kadri Park, is set to become a new emblem of Mangaluru's spirit, uniting both locals and visitors in shared pride and patriotism.

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News Network
September 17,2024

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New Delhi: The Supreme Court on Tuesday halted unauthorised bulldozer action against private property, anywhere in the country, till October 1, dismissing concerns by the government that demolitions sanctioned after following due process could be impacted. 

The "heavens won't fall if we ask you to hold your hands till the next hearing", a bench of Justice BR Gavai and KV Viswanathan declared.

An irate top court - which has already come down hard, twice this month, on 'bulldozer justice' meted out by various state governments - also warned the government against "grandstanding" and "glorification" of this practice. "No demolition, till next, date, without permission of this court," the government was told, and warned the Election Commission may also be put on notice.

The court's reference to the poll panel is significant given elections are due in Jammu and Kashmir (the first Assembly election in a decade) and Haryana, where the Bharatiya Janata Party is looking to return to power. Elections are also due this year in BJP-ruled Maharashtra and Jharkhand.

The court, however, also clarified its order is not applicable to removal of encroachments in public spaces such as roads, railway tracks, water bodies, etc.

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News Network
September 23,2024

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New Delhi: Downloading and watching child pornography is an offence under the Protection of Children from Sexual Offences (POCSO) Act, the Supreme Court ruled today in a landmark judgment on the stringent law to prevent child abuse.

The bench of Chief Justice of India DY Chandrachud and Justice JB Pardiwala set aside the Madras High Court order that had ruled that merely downloading and watching child pornography was not an offence under the POCSO Act. The Supreme Court noted that the high court had committed an "egregious error" in passing the judgment.

The Madras High Court's order had come in a case in which a 28-year-old man was charged with downloading child pornography on his phone. The court had quashed the criminal proceedings against the man and said children these days are grappling with the serious issue of watching pornography and society must be mature enough to educate them instead of punishing them.

The Supreme Court today restored the criminal proceedings against the man.

At the outset, Justice Pardiwala thanked the Chief Justice for the opportunity to pen this judgment. The order focused on Section 15 of the POCSO Act which lays down punishment for the storage of pornographic material involving children.

"Any person who stores any pornographic material involving a child and fails to report or destroy it is punishable with a fine of not less than five thousand rupees., and repeat offence will be punishable with fine of not less than ten thousand rupees. If the material is stored for further transmitting or propagating, then along with fine, it is punishable with upto three years of imprisonment. For storing child pornographic material for commercial purpose is punishable with three to five years of imprisonment, and in subsequent conviction, upto seven years of imprisonment," the Section says.

Justice Pardiwala said that in this case, mens rea is to be gathered from actus rea -- mens rea refers to the intent behind the crime and actus rea is the actual criminal act.

"We have said on the lingering impact of child pornography on the victimisation and abuse of children... We have suggested to the Parliament to bring an amendment to POCSO... so that child pornography can be referred to as child sexually abusive and exploitative material. We have suggested an ordinance can be brought in. We have asked all courts not to refer to child pornography in any order," the bench said.

The Chief Justice called it a "landmark judgment" and thanked Justice Pardiwala.

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