Govt says some dairies protesting against move to tax milk cooperatives

Replying to another query, the minister said the National Cooperative Development Corporation NCDC has framed the Dairy Sahakar scheme in convergence with central government schemes through NCDC credit linkage.

The government on Tuesday informed Parliament that some farmer-owned dairy cooperatives in the country are protesting against the decision to tax milk cooperatives under Section 194Q of the Income Tax Act, 1961. Minister of Fisheries, Animal Husbandry and Dairying Parshottam Rupala, in a written reply to the Lok sabha, said Kerala Cooperative Milk Marketing Federation (Milma), Karnataka Milk Federations and Punjab Milk Federations have represented against the move to tax dairy cooperatives under Section 194Q of the Income Tax Act. As per the National Dairy Development Board (NDDB), the Gujarat Cooperative Milk Marketing Federation Ltd (GCMMFL) and Panchmahal District Co-Operative Milk Producers Union Ltd have together challenged the provisions of Section 194Q of the Income Tax Act, 1961 and its applicability to dairy cooperative societies in the High Court of Gujarat, he said.

The minister said ''the matter is sub-judice'' when asked for action taken on this issue. Replying to another query, the minister said the National Cooperative Development Corporation (NCDC) has framed the 'Dairy Sahakar scheme' in convergence with central government schemes through NCDC credit linkage. Under the scheme, a credit linkage to the tune of Rs 5,000 crore is to be provided by them for all aspects of the dairy business, he added. To strengthen the dairy sector in the country, the government is implementing schemes such as Rashtriya Gokul Mission (RGM), National Programming for Dairy Development (NPDD), Dairy Processing and Infrastructure Development Fund (DIDF), Supporting Dairy Cooperatives and Farmer Producer Organizations engaged in the Dairy sector (SDCFPO), Kisan Credit Card (KCC) for Animal Husbandry and Animal Husbandry and Infrastructure Development Fund (AHIDF).

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)