Monday, March 17, 2008

Dear Comrades,
The text of the letter to be got signed from all citizens of India interested in saving this economy from becoming a slave in the hands of a few large tax payers is given below. As per the decision of the COC of Rev, we have to complete the mobilisation as fast as we can so that we can think about launching the next phase of action. Hence please take up the mobilisation seriously as urged in the previous circular. The materials regarding the concept and dangers of the LTU have already been placed in this webpage.

Dr. Manmohan Singh,
Hon’ble Prime Minister of India,
New Delhi.


We express our concern over the constitution of Large Tax Payer Units(LTU) by the Government of India for the following reasons:

The Finance Minister’s intention to change the time tested fiscal management methods in the country is without causing any discussion in any forum. This scheme of LTU also endangers the existing tax collection machinery as well as the careers of the tax personnel.

The constitution of LTUs guaranteeing unlimited freedom to the Large Tax Payers in terms of movement of inputs, semi-finished goods, capital goods and finished goods from one part of the country to another part of the country without payment of any duty endangers revenue.

This is also against the smaller and medium tax payers of the country because it puts them on an unequal footing with their large tax paying counterparts. The Government’s avowed policy being to promote small scale and medium scale entrepreneurs, this measure of ensuring verification less, audit less facility to large tax payers is against the principles of equity, fairness and justice.

When the Government is seriously considering implementation of Goods and Service Tax by 2010, in the place of the existing tax regime, a piece meal shift in pattern of fiscal management in the name of LTU midway, defies reason.
Yours faithfully,

Sl. No. Name Address Signature