The new Goods and Services Tax Regime (GST) is being paid by the small and marginal farmers in Odisha to dig the wells under the MGNREGA schemes. All of this credit goes to the new indirect tax regime and it is adopted by the Central government along with the support of states including Odisha.
Those farmers belonging to below poverty line (BPL) category can take the advantage of MGNREGA schemes. To avail these schemes, it is compulsory that the farmers must have GST Registration number and then they can get fund from the government to dig wells. To dig a bore well nearly Rs 60,000 in advance is being paid by the government to farmers under MGNREGA schemes. Farmers in Sambalpur are facing problems as they require Rs1 lakh to dig wells.
Farmer requires an excess amount of Rs 40,000 to buy stones from the forest or hills and for this, they need GST registration number. Stone crushers in Sambalpur do not have these stones. Due to the high GST rates, farmers in the district are facing problems and they are forced to leave the work of digging wells in the middle.
Earlier as mentioned in reports it was estimated that approx 3,213 wells would be dug in FY 2016-17 and 2017-18. Till now, construction of 65 wells has been completed in nine blocks of Sambalpur and digging of 3,148 wells are still remaining. The deadline for the completion of the remaining wells is June 2018.
In order to avail the benefits under MGNREGA scheme, the concerned beneficiary is required to have a job, a BPL card, fall under the category of small and marginal farmers and must have worked as a daily wager. The process of receiving the amount of Rs 1 lakh for purchasing stones to built the wells, seems tedious and the farmers are required to follow the procedures mandatory to avail the facilities provided under the scheme.
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Apart from this cumbersome process, GST has been made mandatory to get stones from the forests or hills, when it is not available at stone crushers in the district. Since farmers in Sambalpur are left with no option but to buy the stones from forest paying GST tax, as stones are not available at stone crushers in Sambalpur, a feeling of dissatisfaction is getting widely spread amongst the farmers regarding the entire process.
