Bhubaneswar: Goods and Services Tax (GST) about to be rolled out will pull up big taxation reforms for state. With the unified taxation regime coming into effect, it would lead to scrapping of varieties of taxes like entertainment tax, VAT, Central Sales Tax, entry tax from most items.
In a reply to BJD MLA Prafulla Samal, State Finance Minister Pradip Amat on Monday said after GST is implemented it would lead to nullification of VAT and sales tax on important items except crude oil, petrol, diesel, aero fuel, alcohol, natural gas.
Amat said entry tax would be scrapped after the implementation of GST. Entertainment tax would also be lifted but local panchayat bodies could collect such tax. The GST council would decide the rates slab on the items.
A total of Rs 14,966 crores 65 lakh have been collected as taxes from income, sales, VAT, entertainment slabs in the financial 2015-16. Out of that 12,211 crore 26 lakh have been collected as VAT while 885 crore 63 lakh have been collected as Central Sales Tax. 30 crore 96 lakh as entertainment tax, 1662 crore 99 lakh as entry tax and 175 crore 71 lakh as income tax have been also collected during the financial year 2015-16.