Hyderabad: Chief Minister N. Chandrababu Naidu has opposed the move to give five years tax moratorium to the India Cement plant in Kadapa district owned by N. Srinivasan. Chief Minister’s Office (CMO) sources said Mr Naidu sent back the file to the commercial tax department after rejecting the request of India Cements.
As part of the industrial incentives the government had given sales tax deferment for 14 years to the India Cements unit in Kadapa district. According to rules after completion of sales tax deferment period the company has to pay tax to the government. The ST deferment period of India Cements ended last year.
Meanwhile, India Cements has requested the government to defer the payment of ST for five more years as their financial position is bad. According to India Cements, Finance and Commercial Tax minister Yanamala Ramakrishnudu had agreed to give five years tax moratorium to the company. The minister sent the file to Mr Naidu for approval. The file came to Mr Naidu on Tuesday. After going through the file Mr Naidu rejected the proposal sent by minister Yanamala. Officials said India Cements has to pay about Rs 8 crore a year to the government as ST.
