Karat's views from Coimbatore
Coimbatore:Communist Party of India (Marxist) general secretary Prakash Karat has called upon the Central Government to re-introduce the long-term capital gains tax on equities.Talking to presspersons here on Wednesday, he said the re-introduction of the tax was important in view of the volatility of the stock market. At the same time, the Government could also earn revenue.“A lot of profit is made through speculation. A lot of people are making a lot of money. They must be taxed as any others,” he said. This tax had been levied earlier, but was abolished in 2004. At present, there was tax only on profits made through sale of shares within one year of purchase. The CPI(M) and Left parties were now making a demand that the Government re-introduce the tax, in view of the Union Budget to be presented next month. On whether the third alternative proposed by the CPI (M) in its draft political resolution could be formed before the next Lok Sabha elections, Mr. Karat said that his party did not link it to elections alone.The third alternative should be based on a long-term programme. “We are not rushing into it. We know it cannot be formed overnight,” he said. All the forces that supported the third alternative should be brought together and it had to be stable and durable.Asked whether a roadmap for the formation of the alternative would emerge at the 19th congress of the party here from March 29 to April 3, he said it would certainly be one of the subjects that would be dealt with.Asked whether the CPI(M) would lead the third alternative, Mr. Karat said: “We will lead the initiative to form it. We are not talking about who will lead it.”The CPI(M) would not allow the Central Government to increase the price of fuel till the taxes on it were revised.
