Truckers end strike

The seven-day long truckers strike finally came to an end on Saturday after the truckers reached an agreement with the government on the iss...

The seven-day long truckers strike finally came to an end on Saturday after the truckers reached an agreement with the government on the issue of service tax and their other demands. The finance ministry also clarified that truck owners and operators are not in the purview of service tax. Movement of goods and commodities started limping back to normal within hours of calling off the strike.

Announcing the decision to end the agitation, AIMTC President B S Dhumal told reporters that a joint committee comprising representatives of truckers and government would look into the issues of service tax and tax deduction at source, while revenue secretary Vineeta Rai clarified that truck owners and operators were out of purview of the service tax. The decision to withdraw the strike was reached after a marathon meeting lasting over nine hours at the end of which ministries of finance and surface transport signed two seperate agreements with AIMTC.

As per the agreement signed by Rai on behalf of finance ministry and Dhumal for AIMTC “government will make suitable rules/notifications as required and also define commercial concerns and consignment note to make it clear that truck owners and operators are not required to pay or collect service tax.’’

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The panel would submit its report within two months, Rai said, adding the government would take measures for the withdrawal of cases against the truckers arrested during the stir. As per the second agreement, signed by Dhumal and surface transport secretary Dhanendra Kumar, the government has agreed to examine the problems faced by the transport sector relating to scrapping of eight and fifteen year old vehicles. The government would also request IRDA to “ensure that the insurance companies strictly follow the guidelines of IRDA issued from time to time and take suitable action against those companies violating the guidelines.’’ On the issue of toll tax, Kumar said the committee set up on the issue would be asked to make its recommendations soon, which would in turn be considered by the government.

Meanwhile, soon after the strike was called off on Saturday, a large contingent of trucks started plying towards the key “mandis’’ of Delhi and peripheral areas. Reports of normal truck movement were also received from other parts of the country.