Nagaland Assembly
recently passed the 1999-2000 state budget which laterally widens the tax base and
proposes far-reaching fiscal reforms to augment internal resources.
The House passed the budget by voice vote
and passed all other tax bills, Appropriation Bill and demand for grants without any
discussions. With the passing of the Appropriation Bill 1999, the government is authorised
to withdraw Rs 1,529 crore from the consolidated fund of Nagaland to meet its voted
expenditure. The Assembly passed Nagaland Profession, Trade, Calling and Employment
(amendment) Bill 1999, Indian Stamp (Nagaland Amendment) Bill 1900 and Nagaland and Motor
Vehicle Taxation (Amendment) Bill 1999.
The government imposed professional taxes for all kinds of business entities besides the
government staff through the amendment bill. Under the bill’s provision any person
earning more than Rs 2,000 per month has to pay professional tax. The tax rates for
regular income group ranges from Rs 35 to Rs 208 per month and legal and medical
practioners, technical and professional consultants including architects,
engineers, chartered accountants, actuaries, manage-ment consultants and tax
consultants, accountants, chief agents, principal agents, insurance agents and surveyors
or loss assessors registered or licensed under insurance etc have been brought under the
tax net.
Meanwhile, Nagaland Chief Minister S. C. Jamir has appealed to the people for their
cooperation for restoration of economical progress of the State. He said that the current
situation was not conducive for all-round growth and called upon the government employees,
general people and NGOs to cooperate with the State Government for maintaining a friendly
environment for speedy economic development of the State. Addressing a symposium on
‘Micro economics in the Nagaland context’, he said that the resources were not
being utilised properly which was affecting the development.
He said while the State had the potential to garner resources worth Rs. 100 crore per
annum, Nagaland was mostly dependent on Central resources. The work culture had to be
re-inculcated, he said and urged the people to finish corruption, violence and extortion
in the State.
