Panel To Review Introduction Of Uniform Tax Rates

The meeting of commissioners and chief commissioners of commercial taxes yesterday decided to set up a committee to monitor the progress made by member states in preparing for uniform tax rates before finally moving towards value added tax (VAT).

Sources said the committee consists of members from each of the eight northern states and union territories and will guide the efforts of the states in moving towards VAT.

Moreover, since no state other than Delhi had initiated any preparatory steps prior to introducing VAT, officials of the Delhi government, who recently underwent training in South Korea, are expected to initiate officials of other states into the basics of VAT.

To take a final decision on the related issues discussed at yesterdays meeting, finance ministers of Rajasthan, Haryana, Punjab, Delhi, Himachal Pradesh, Jammu and Kashmir and Uttar Pradesh alongwith the finance department officials of the union territory of Chandigarh are scheduled to meet here today.

Last month, they had decided to introduce uniform rates of tax throughout the region and conduct a monthly review of the steps being taken in this regard. Todays meeting is the first after the historic decision to introduce uniform rates and switch over to VAT from April 1, 1999.