Bihar Inc supports Nitish's demand for special status

The Bihar Chamber of Commerce (BCC) today urged the Centre to grant special category status to the state, extending full support to the demand of Chief Minister Nitish Kumar for the same.     

In a pre-budget memorandum sent to Union Finance Minister Pranab Mukherjee, BCC President P K Agarwal said Bihar deserved the special status because it is an economically and industrially backward state.     

Framing of special norms for the state would mitigate the growing regional inequalities and augment rapid development, Agarwal said.     

"Bihar is in dire need of ample support from the central government and hence the chamber has demanded special category state status for Bihar on par with other such states of the country like Himachal Pradesh, Uttaranchal and north eastern states," he said.     

The chamber's President also demanded sufficient and adequate assistance for Bihar so that sugar industries, ethanol production units, thermal power projects for energy generation, agro-based, food processing, engineering and steel industries, tourism units, professional and technical institutions could be properly developed.     

Other major demands envisaged in the chamber's pre-budget memorandum include slashing of income tax rates by five per cent for individual and huf assesses, besides restoring provisions of standard deduction for salary income.

Agarwal said the finance minister should also abolish fringe benefit tax and surcharge. Steps were also required to be taken for including Bihar state in the list of industrially backward states in 8th schedule of IT Act 1961 for 100 per cent exemption from Income Tax for five years, he said.     

He said it would be proper to re-define the category of senior citizen from 65 to 60 years of age.