Grant IGST exemptions to donors getting COVID relief material from abroad: Sisodia to FM Sitharaman

New Delhi: Delhi Deputy Chief Minister Manish Sisodia on Sunday urged Union Finance Minister Nirmala Sitharaman to grant IGST exemptions to donors based in the country procuring COVID relief material from abroad.

Sisodia, who is also the finance minister of Delhi, wrote a letter to Sitharaman on Friday appreciating the central government’s decision to waive integrated goods and services tax (IGST) till June 30 on COVID-19 relief goods donated or received free of cost from outside India for free distribution.

”There is another category of donor organizations, governmental, non-governmental or private, who are based in India and are directly procuring these items from abroad and donating it to Union or state governments,” he said.

These organisations are not covered under IGST exemptions as they are not importing life-saving materials free of cost and paying for it, although they are finally donating it to the government for distribution among people without any charge, Sisodia said.

He requested IGST exemptions be given to such organisations saying they were doing philanthropic work and also because the tax they may act as a deterrent since they are anyway paying a premium on urgent shipment or airlift of relief goods from all over the world.