Visakhapatnam: State bifurcation that effected two per cent additional tax on inter-state transactions has resulted in hike in prices of consumer goods sold in even in army cantonments, much to the dismay of defence personnel.
The Canteen Stores Department (CSD), a government of India enterprises under the ministry of defence, has been operating transactions at various locations across the country. Canteens are located in Scindia area and also at Coastal Battery in the city. The Regional Manager at Area Depot manages the units.
“We are being charged a two per cent Central Sales Tax (CST) for the interstate transactions after state bifurcation and we are consequently imposing it on consumers. We cannot say volume of business on which tax was being levied since the organisation belongs to defence ministry,” said a senior official from a CSD canteen. Officials of the NCC Unit at Lawson’s Bay Colony denied revealing details regarding interstate tax on the products being supplied to the defence and NCC personnel.
