EC gives green signal to octroi abolishment

Convinced by a report submitted by the state government, the Election Commission (EC) has allowed octroi to be abolished on November 15. The move comes in the wake of deliberations on shifting the octroi removal date from November 15 this year to January 1, 2008.

The announcement of octroi removal on November 15 by Election Commissioner Vinod Babbar has brought relief to the trading community, which had been protesting against the levy to the state government.

The state government had earlier submitted a report to the EC on octroi removal following EC's views on shifting the date of octroi removal.

Octroi abolishment on the auspicious day of 'Labh Panchami' on November 15 was seen as an attempt to appease the agitate trading community.

Welcoming the move, Vimal Ambani, vice-chairman, Gujarat Council, Confederation of Indian Industries said "the state government has to see to it that proper ways are derived to compensate the loss of revenue.

Abolishment of octroi should not hinder flow of revenues for the city administration and should not hinder the city's development".

According to Paru Jaykrishna, president of Gujarat Chamber of Commerce and Industries, the trading community was earlier even suggesting alternatives to revenue generation.

"But now the community feels that the state government is capable of deriving funds without any alternatives and only total octroi abolishment will be welcomed," she said.