Date:01/03/2008 URL: http://www.thehindubusinessline.com/2008/03/01/stories/2008030152230800.htm

Back BCCT withdrawal: Good for planters

L.N. Revathy

Coimbatore, Feb. 29 The withdrawal of the Banking Cash Transaction Tax (BCTT) from April 1, 2009, planters say “is a positive signal for the plantation sector.”

Commenting on the BCTT withdrawal, Mr. D. P. Maheshwari, President, United Planters Association of Southern India (UPASI), said: ‘The daily/weekly wages of the plantation workers is paid in cash, as specified under the Payment of Wages Act, 1935. There are thousands of workers in the plantation industry and the daily average wage outgo is phenomenal.”

The transaction tax is 0.10 per cent or Rs 100 for every Rs 1 lakh.

The association, which has been pleading for withdrawal of this tax now sounds relieved.

Bankers say the BCTT is miniscule and would not affect them much. They were, however, not too happy with the farm loan waiver announcement.