CAP Sikkim petitions Transport & Forest Depts to withdraw hike on taxes & royalties

GANGTOK,: A delegation from Citizen Action Party (CAP) Sikkim on Monday visited the Transport department and Forest department head-offices here regarding the recent hike on vehicle taxes and royalties on forest produce. They demanded the departments to withdraw such unjust hike in taxes and royalties.

In their memorandum to the Forest secretary-cum-PCCF, the CAP Sikkim submitted that the hike on royalties and fees on forest produce was done without considering the adverse impact it will have on the common people, especially for the rural residents, for whom forest produce is vital for subsistence and livelihood.

“People of Sikkim are already facing the pressures of rising inflation. Implementing such a decision will overburden consumers even further. If the department aims to generate revenue, we urge you to explore more viable measures rather than formulating plans that disproportionately affect the pockets of common people,” submitted the CAP Sikkim.

The opposition party added that these forest produce, being non-timber based and traditionally harvested by rural and indigenous communities for food and medicinal purposes, hold immense cultural and economic significance. The party urged the Forest department to reconsider the revised rates and to immediately withdraw the notification.

Similarly, the CAP Sikkim submitted a representation to the Transport secretary recording its strong objection to the abrupt hike in motor vehicle tax by more than 100% across all vehicle categories.

The opposition party submitted that road conditions throughout Sikkim are in a deplorable condition which has further contributed to an increase in fuel consumption, resulting in higher travel costs and vehicle maintenance expenses.

It was also submitted that key tourism destinations in North Sikkim and other important tourism spots in the State are inaccessible due to the monsoon havoc – leading to substantial decrease in tourism. This has severely affected the livelihoods of tour operators and taxi drivers, both of whom are already struggling to recover from the economic slowdown caused by these disruptions, the party said.

In light of the rising rate of inflation and increased cost of living, an incremental tax hike of 10% to 20% would be a more pragmatic approach, suggested the CAP Sikkim. The party requested the Transport department to reconsider its decision and withdraw the notification.

We believe that a more moderate and justifiable tax adjustment would be better received by the public, ensuring broader acceptance of the revised motor vehicle tax rates, said CAP Sikkim in its memorandum.