No tax cuts to tackle drought; FM hopes to meet target

New Delhi, Sep 8 (PTI) Hoping to meet the indirect tax
collection target this fiscal despite a negative trend in the
first four months, Finance Minister of India Pranab Mukherjee
on Tuesday ruled out tax cuts to tackle the drought faced by
nearly half of the country.

"I do not know because I am not thinking of giving any
tax concessions. Therefore, I am not concerned with that
part," he said.

Mukherjee was talking to reporters after addressing the
annual conference of Chief Commissioners and Directors
Generals of indirect taxes. He was asked if drought would lead
to slippages in indirect tax collection.

He exhuded confidence that indirect tax collection target
for the current fiscal would be met. "I am hoping so", he
said.

The government has set a revenue target of about Rs
2,70,000 crore from indirect taxes during the current fiscal.

Mukherjee expects an improvement in indirect tax
collection from the third quarter, although it has declined 28
per cent in the first four months of FY'10.

"I am hoping that the trend that we have noticed in the
first quarter...so I am expecting improvement from the third
quarter," he said.

He said the negative growth of indirect tax collections
in the first four months was a matter of worry and reflected
the economic slowdown and consequent stimulus measures. PTI
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