Unsolved problem

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 After the one-day protest closure of all shops across Nagaland on September 16 in response to the demand of the Chambers of Commerce- Nagaland Chamber of Commerce and Industry (CNCCI) and earlier the Dimapur Chamber of Commerce and Industry (DCCI) to stop rampant and unabated collections in Dimapur and collections of multiple taxes by state agencies; the state government had offered to deal with these demands. It may be mentioned that all these illegal activities are being carried out in the name of at least ten Naga political groups, half a dozen state government agencies, Dimapur municipal council and myriad other social and voluntary organizations. These collections either authorized or unauthorized have caused serious damage to the business environment by subjecting entrepreneurs, traders etc to fear and uncertainty. All these organizations and agencies impose their right to tax and collect money right from the time trucks pass through check gates carrying all kinds of items. First the trucks are allowed to cross only if they have paid road tax to parallel authorities at the amount decided on the number of tyres. Again, taxes are imposed item-wise on trucks. Later the owners of godowns pay tax for storage of the goods. Then the shops selling these items are again subjected to retail tax. Government agencies are as notorious for collection of unauthorized taxes on items for which GST has been paid. Unhealthy animals are also passed at the check gates after paying fines. These are again taxed while being sold in the markets. The government offered to increase deployment of police personnel to check extortions. CNCCI has however said the issue is not restricted to Dimapur but also widespread throughout Nagaland. The belief that mere deployment of police will solve the problem is not based on facts. If that were so, then it would be attributed to good governance. According to most traders and entrepreneurs, such collection will end once there is solution of the Naga political issue. This appears to imply, that the unsolved political issue is the major cause for rampant illegal collections. However, it would be too simplistic to suggest that political solution will end the problem. According to volunteers who had launched a week-long vigil against gate collections in 2019, different groups of police personnel were collecting money to be shared with their respective officers. On stopping multiple tax collections by Dimapur Municipal Council(DMC) and other agencies, there are still various methods or mean by which money can be squeezed from. Perhaps like Hydra, those involved are graduating to market syndicates under various names and will allow only those paying them ‘tax’ to do business. Earlier, according to ACAUT, several syndicates have been set up for various trade activities. After GST and online banking, business firms cannot make extra profit unlike in the past. Toll tax, entry tax or road tax etc should be banned and civic bodies should be discouraged from collecting money under whatever pretexts. Many states have done away with such activities which only promote criminal elements from forming collection syndicates. This problem can be solved once and for all if any form of collections is banned and effectively imposed. All the government’s economic visions and documents will remain on paper only and come to naught, if trade and commerce is remote-controlled by outside market forces.

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