As the state government has increased the Goods and Service Tax (GST) share of the Pune Municipal Corporation (PMC) to Rs 153 crore per month in this financial year, political leaders from Maha Vikas Aghadi (MVA) and Bharatiya Janata Party (BJP) have started the ‘blame-game’ over the difference in the share amount.
PMC’s per month GST share was Rs 142 crore in the financial year 2019-20. The state government has given Rs 11 crore growth per month, which means PMC will get Rs132 crore additional amount per annum, according to officials.
The leaders from the Maha Vikas Aghadi allege that despite the BJP being in power in the PMC the state government has increased the share for the civic body. On the contrary, when BJP was ruling in the Centre, state and municipal corporation, instead of giving a hike in GST share the government had reduced it.
Chetan Tupe, city unit president and MLA, Nationalist Congress Party’s (NCP), said, “Despite additional financial burden due to Covid-19 pandemic the sate government has given the due amount to the civic body even when BJP is in power in the PMC. The present state government does not want to involve politics with the development works in Pune.”
“On the contrary when BJP was in power in the state the GST share for PMC was less, as they should be four to eight percent hike every year,” said Tupe. “Now as the BJP is in power in the Centre it is biased while distributing funds to Maharashtra and Delhi,” said Tupe.
Hemant Rasne, BJP leader and standing committee chairman, said, “It is true that the state government has released the GST dues for April, May, June and July. It has given a hike as compared to previous year, but when we were in power in the municipal corporation and state we were following up with the issue.”
When asked why the previous government did not give a hike in the GST share, Rasne said that it is mandatory to give a hike of four to eight percent every year, but refused to elaborate the issue.
While abolishing the Local Body Tax (LBT), the state government had decided to give share from GST to every municipal corporation. As per that amendment, all the municipal corporations get GST share from the state government every month.
GST share from state government to PMC
Year/ Rs in crore per month