By NNN-PTI,
New Delhi : Truckers today stopped ferrying goods, barring fuel and other essential commodities, as part a nationwide strike to protest the levy of toll tax and high duty on diesel among other issues.
Talks to end the strike, which began early today, collapsed after Highways and Road Transport Minister T R Baalu said it was not possible to roll back a hike in toll tax.
“Yes, the hike in toll tax in February was too much, but it was through an Act of Parliament… It is not possible to roll back the hike,” Baalu told representatives of All India Motor Transport Congress here.
“We will continue with the indefinite strike,” AIMTC President Charan Singh Lohara told reporters after the meeting with the minister.
Baalu, however, said that his ministry has talked to the Petroleum Ministry on the truckers’ demand for levying fixed duty on per litre of diesel instead of the prevailing ad-valorem duty and that a clarification was expected soon.
Separately, the Finance Ministry said it was open to offering concessions on service tax, another issue on which the strike action was called by transporters.
“According to a 2004 agreement, we were paying 12.36 per cent service tax on 25 percent of the charges for transporting goods and it was paid by the traders. But now, the government is sending notices on 100 per cent charges,” Lohara said.
“We are ready to consider the demand of goods transport agencies for enhancing the abatement rate from the present level of 75 per cent,” Central Board of Excise and Customs member (CBEC) V Sridhar told reporters here.
Abatement rate is deducted from the total billing amount of service provider to arrive at tax liability.