Will Mitra replace Dasgupta to drive GST
14 May 2011
With West Bengal finance minister, Asim Dasgupta losing the election from Khardah, speculation is rife that his bete noire -Ficci secretary-general Amit Mitra - may be the man who could drive political consensus on the long-delayed goods and services tax (GST).
However, Mitra is not a shoo-in as a replacement for Dasgupta on the empowered committee of state finance ministers and would first need to be anointed as Bengal's finance minister by Mamata Banerjee, chief minister in waiting. She would then have to be persuaded to allow Mitra to spare some time from the more compelling need to set the state's crumbling fiscal house in order.
In the last four years, Dasgupta has deftly handled the contentious legislation aimed at redrawing the taxing powers of the centre and states. According to finance ministry officials, Dasgupta's exit would not introduce an element of uncertainty over the timeline for the introduction of GST.
According to finance ministry officials, finance minister Pranab Mukherjee and Dasgupta, helped by their secretariats, have completed the hard task of drafting the tax measure and much of the intended legislation.
The GST, which is due to come into effect from 1April next year has already slipped on two deadlines.
The constitutional amendment was tabled by North Block in the last session of parliament, which has set in motion the legislative process for approval of GST.
