Daijiworld Media Network - Hyderabad
Hyderabad, Jun 24: After holding prolonged discussions between the government secretaries and cabinet ministers, Andhra Pradesh government has decided to withdraw 16 exemptions that the Trust has been accorded to enable it to conduct educational and other charitable activities.
On Thursday evening, Andhra Pradesh Chief Minister (CM), Kiran Kumar Reddy, said that in order to achieve better transparency in the functioning of the trust and its activities, the government had decided to withdraw certain exemptions extended to it, duly adding that this action will not restrict the activities of the trust like running of hospitals, universities and other missions.
But exemptions extended in the past by the state government like no levy of Value Added Tax (VAT), building charges, commercial tax, registration fees, customs and other import fees for medical equipments, subsidised electricity etc will continue to be extended as before, said Chief Minister.
"Our focus is to bring about more transparency in the working of the trust and its various bodies. Therefore, various exemptions granted to the trust under the Hindu Temples and Trusts Act, 1987, will be withdrawn," said the sources.
The 16 concessions, ranging from financial to administrative activities, were granted to the Sathya Sai Central Trust, the Sathya Sai Institute of Higher Learning, Sathya Sai University, Super Speciality hospitals, medical trust, Radio-Sai, International Sathya Sai Organisation, Sathya Sai Seva Organisation, Sai Sadhana Samithi and music divisions.
The financial concessions, which include no levy of VAT, building fee, commercial tax, registration fee, customs and other duty for importing medical equipment for the hospitals and subsidised electricity, will continue for the time being.
What are the exemptions that are withdrawn?
As per section 154 of the said Act, every trust needs to file its income and expenditure report with the respective state government at least once in three years. Similarly, exemption given under section 59 of the Act had allowed the trust to skip the need to file information about the assets and properties of different trusts. Exemptions given under sections 58, 60, 61 and 65 of the Act had allowed the trust to do away with the yearly audit by the government, supervision by deputy collector rank officer, and submission of annual profit and loss account.
Likewise, exemptions given under sections 79 and 80 gave the trust power to sell its land, property, intellectual property, publications, music and film productions, without giving any information to the government or adhering to the need to pass through the supervisory system provided by the government. All these exemptions will now be withdrawn, sources said.