Assam announces incentives, discounts to promote cashless transaction

GUWAHATI: Bharatiya Janata Party (BJP) led government in Assam today announced a set of incentives and monetary benefits to promote cashless transactions in the state. Assam government will incur revenue loss of Rs 100 Crore annually due to this measure.

Discounts are offered in fuel purchase besides incentives are offered in payments in government hospitals, property tax, cinema tickets, and labour payment in tea estates and in government run educational institutions.

Entry tax on POS machine, VSAT dish antennae, mobile wifi and ATMs, which is presently 4 percent, have been waived off.


Central government oil PSUs are currently offering 0.75 percent discount on the price of diesel and petrol on payments made electronically.

“Assam government will offer additional 0.75 percent in the fuel purchased electronically. This will be effective from January 1,” announced Assam Finance Minister, Himanta Biswa Sarma today.

He added that 10 percent discount will be offered to patients on bills above Rs 500 in government hospitals. “Property tax and trade license fee charged by urban local bodies will be reduced by 10 percent for those making electronic payment.”

The minister added that co-operative societies in villages will get cash award of Rs 25,000 if 100 percent payment is made electronically. "If all transaction in a village in a particular Gaon panchayat are made 100 percent electronic within March 31, 2017, then such village will get cash award of Rs 5 lakh.”

Farmers buying seeds and fertiliser digitally will be awarded. The state government has also announced Rs 5 incentive per ticket to cinema hall owners for online sale of tickets.

According to the government, all taxes under the commissionerate of taxes shall only be deposited through electronic if the tax amount is Rs 10,000 or more.

“Rs 5 will be provided to Deputy Commissioners as cash incentive for every individual citizen who have transited to digital payment mode in addition to Rs 10 already announced by Niti Aayog.”

The minister said Rs 100 per labour will be given as an incentive to a tea garden/garden provided that the full payment of wages to a particular worker at each of the specified intervals is made through digital mode during the period from January 1, 2017 to March 31, 2017 and the maximum amount of such incentive will be restricted/available to the extent of the agricultural income tax liability to be paid to the government by such tea garden.

Following demonetisation Assam’s share of Centre’s tax devolution which was Rs 1,360 Crore per month has increased to Rs 2,700 Crore for the month of November.

Sarma said that state taxes have witnessed growth of 10 percent during the month of November.