This Article is From Feb 27, 2010

Mamata angry over service tax on Railways

Mamata angry over service tax on Railways
Kolkata: It's not just the Opposition, UPA ally Trinamool Congress is also extremely upset with Pranab Mukherjee's Budget.

Mamata Banerjee is also not happy with the decision to levy service tax on Railways. She is reportedly angry because the matter was not even discussed with her Ministry.

The Trinamool is already demanding a rollback in fuel prices saying it would not be proper to impose "greater burden" on the people, who are already suffering from a high rate of inflation.

"We would prefer that in this crucial juncture, this decision be kept on hold," Trinamool's Sudip Bandopadhyay told PTI on Friday.

He said TC was "in principle opposed to any proposal to raise the prices of petroleum products at this time when the prices are already high. Common people should not be allowed to suffer any further".

Bandopadhyay also opposed the budget decision to raise Rs 6,000 crore through service tax from the Railways, headed by party chief Mamata Banerjee.

"It will become difficult for the Railways to operate this largest transport system of the world," he said, adding that he had expected "more financial assistance" from the general budget to the Railways.

He said the Rail Budget had "enhanced the prestige and acceptance of the UPA government across the country".

Meanwhile UPA ally DMK chief Karunanidhi has also written to Prime Minister Manmohan Singh, Congress President Sonia Gandhi and Finance Minister Pranab Mukherjee asking for a rollback of hike in diesel price. (With PTI input)

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