Bjp: No Move On Farm Tax

Fearing a backlash from rural India and its allies, the Bharatiya Janata Party yesterday denied having advocated taxing rich farmers.

The party declared that it was opposed to imposition of any tax on the farm sector and the views expressed by party vice-president Jana Krishnamurthy were his own and not the party's.

In an interview to Business Standard on Tuesday, Krishnamurthy had advocated taxing rich farmers. He was away in Agra yesterday, but apparently told party leaders that he had expressed the views in his personal capacity.

Tuesday's statement by Krishnamurthy created a stir in political circles, particularly because he is tipped to become the BJP president in a few months. Besides, taxing the agricultural sector does not fall within the purview of the Central government, since agriculture is a state subject under the Constitution.

 

The Congress was quick to react by asking the government to clarify whether it agreed with Krishnamurthy's views. "If the Union government wants to levy tax on the agricultural sector, the Constitution has to be amended," Congress spokesman Ajit Jogi said yesterday.

Krishnamurthy had claimed that taxing agriculture was part of a proposal submitted by the BJP to Union finance minister Yashwant Sinha. BJP general secretary and spokesman M Venkaiah Naidu yesterday said he had spoken to Sinha and there was no such communication from the BJP.

Worried BJP leaders tried to play down the issue, which is particularly sensitive in the light of assembly elections in Haryana on February 22.

The Indian National Lok Dal, which is an ally of the JP, has a strong farmer backing and could have reacted strongly, a BJP leader said. Even the Shiromani Akali Dal and the Telugu Desam Party are sensitive about this, he added. Besides, the such a tax could be levied only by State governments. Naidu said there was no proposal to tax farmers either rich or poor. In the BJP's view farmers cannot be rich after the land ceiling act. "No farmer on the earth can get an income of more than Rupees two to three lakh per year," he claimed. In addition, the farmers suffer due to vagaries of nature. In its eagerness to counter Krishnamurty, the party filded its Kisan Morcha chief Rajbir singh to highlight the BJP's point. Singh said there was no case for taxing the farm sector.