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Sunday, Nov 17, 2019

Arvind Kejriwal writes to union home and finance ministers on taxes

Kejriwal requested Shah and Sitharaman to look into the matter personally and “provide additional terms of reference to the 15th Finance Commission to enable” it to recommend the legitimate shares of Delhi in central taxes.

cities Updated: Jul 18, 2019 22:33 IST
HT Correspondent
HT Correspondent
New Delhi
The CM said that due to the “inadvertent omission” of Article 270(3) of the Constitution, which deals with share of taxes between the Centre and the Union territories, Delhi is missing out on “its legitimate share in central taxes of at least Rs 6,500 crore per annum”.
The CM said that due to the “inadvertent omission” of Article 270(3) of the Constitution, which deals with share of taxes between the Centre and the Union territories, Delhi is missing out on “its legitimate share in central taxes of at least Rs 6,500 crore per annum”. (HT Photo)
         

Delhi chief minister Arvind Kejriwal on Thursday wrote to union home minister Amit Shah and union finance minister Nirmala Sitharaman, demanding Delhi’s shares in central taxes be raised in view of its rising population.

The CM said that due to the “inadvertent omission” of Article 270(3) of the Constitution, which deals with share of taxes between the Centre and the Union territories, Delhi is missing out on “its legitimate share in central taxes of at least Rs 6,500 crore per annum”.

“Delhi has the character of a ‘state’ and there is a strong case for treating it on a par with other states for the purpose of share of central taxes” and grants to its local bodies through recommendations of the Fifteenth Finance Commission. The transfer of grants in lieu of share in central taxes has remained stagnant at Rs 325 crore per annum since 2000,” Kejriwal’s letter read.

Kejriwal requested Shah and Sitharaman to look into the matter personally and “provide additional terms of reference to the 15th Finance Commission to enable” it to recommend the legitimate shares of Delhi in central taxes.

He said that as the capital of the country and one of the fastest growing metropolises, Delhi’s claims on its resources are immense and varied.

“While the Delhi government has to maintain infrastructure that meets world standards, it also has to improve supply of civic amenities to the burgeoning population who legitimately expect employment and a fulsome life in the capital. Consequently, large investments in education, health, social, food securities, transport, roads and hospitals, etc., have to be made,” he said.