Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: articles on VAT and GST in India :: form 3cd :: ACCOUNTING STANDARDS :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: cpt :: empanelment :: Central Excise rule to resale the machines to a new company :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARD :: TDS :: due date for vat payment :: VAT Audit
 
 
Budget Extravaganza »
 Government should reinstate wealth tax in Budget 2017
 With demonetisation inducing tax compliance will PM Modi cut tax rates in Budget 2017?
 State plan budget utilisation in Odisha
 Maharashtra wants budget advanced to February
 Coastal economic zones may get 10-year tax exemption in next Budget
 Why advancing the Union Budget date may not make much difference
 Govt keen 2017-18 budget should not clash with polls: Arun Jaitley
 Finance Ministry seeks industry suggestions on taxation for Budget
 Budget should focus on fiscal firm up
 Finance ministry keen to present Budget on February 2 or earlier
 Poor railway performance may mar merged Budget

Raiway Budget 2012: Government caves in to Mamata Banerjee, rolls back rail fare hike
March, 23rd 2012

The government has capitulated to pressure from the Mamata Banerjee-led Trinamool Congress and rolled back most of the railway tariff hikes, besides abandoning key reform measures, announced by the ousted rail minister Dinesh Trivedi.

The new railway minister Mukul Roy told Parliament on Thursday that the hike in passenger fares for second-class suburban and non-suburban sleeper, AC chair car and AC threetier would remain unchanged. He, however, refrained from announcing any reduction in the 15 paise per km and 30 paise per km increase in AC two-tier and AC-1 fares respectively announced by Trivedi.

"The concern of the common man is overriding even if it means biting the bullet of a different kind. The impact of the fare hike on the aam admi was huge," Roy said while replying to the debate on the railway budget in the Lok Sabha. Banerjee had sought Trivedi's removal and a rollback of the fare hikes soon after the rail budget was presented on March 14.

The new minister used the parliamentary pulpit to defend his party's stand. The fare revision, the first in eight years, was seen as a much-needed step for improving the depleting finances of the railways. The new minister has also scrapped two reform-oriented decisions - setting up a committee to examine the need for an independent tariff regulatory authority and the proposal to expand the Railway Board.

The tariff authority was aimed at reducing political interference in determining fares. "All reform measures for modernising railways stand withdrawn. Roy virtually tore the 'pink book' (the document detailing railway finances) apart. This will only take the railways back to the stone age," said a leader of the Congress-led United Progressive Alliance.

Trivedi, who had kept his party on hold for days before giving in to demands for his resignation, said only time would tell who was right and who was wrong. "I am concerned about safety and you cannot have safety without modernisation and you cannot have modernisation without resources," he said.

CPM politburo member and Rajya Sabha member Sitaram Yechury said the railway minister's reply in Parliament laid bare the "irresponsible nature" of the ruling coalition.

"The minister announced the withdrawal of hike. He did not tell Parliament how he intends to meet the resource gap on account of this decision. There could be supplementary hikes during the year," said Yechury, whose party is Trinamool Congress' rival in West Bengal.

"Over the past few years, the government has been increasing freight rates and not touching the passenger fares. The government has further increased the freight rates by 22%-25% this time, thereby increasing the distortion and making freight rates among the highest in the world. This obviously impacts the price of finished goods in India. We are ultimately overpricing the goods in the world market," former Railway Board chairman JP Batra said.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Integrated Software Solutions Integrated Software Development Integrated Software Services Integrated Software Solutions India Integrated Softw

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions