Finance Minister KN Balagopal has provided a response to Kuzhalnadan’s inquiries regarding the tax controversy involving Chief Minister’s daughter, Veena Vijayan. When Mathew Kuzhal Nadan inquired whether Kerala had received the tax payments made under the Integrated Goods and Services Tax (IGST), Finance Minister Balagopal clarified that the taxes had indeed been collected and can only be discussed within the legal framework. He confirmed that Veena Vijayan had paid taxes under IGST and stated that Mathew Kuzhalnadan was creating misunderstandings.The Finance Minister emphasized that the Goods and Services Tax (GST) was introduced from July 1, 2017, and prior to that, service tax was considered central tax. He expressed that resorting to violence is not in the best interest of the family and the individual. KN Balagopal also noted that the allegations against Veena are part of a broader attack against the Chief Minister, and he encouraged Kuzhalnadan to move beyond this episode and focus on fresh matters.
The month-long controversy concerning Chief Minister’s daughter Veena Vijayan has seen demands from the Communist Party of India (Marxist) (CPM) for an apology, which were dismissed today. Mathew Kuzhalnadan, armed with documents during a press conference, challenged the Finance Minister to clarify how Veena Vijayan’s company managed to pay taxes before obtaining GST registration. He claimed that the finance department’s explanation was insufficient. This challenge led to the Finance Minister’s explanation.The finance department conveyed, “CMRL has entered into an agreement with Exalogic.” The agreement between CMRL and Veena’s company (Exalogic) was signed on March 2, 2017, for a monthly payment of 3 lakhs. Another contract with Veena Vijayan, entailing a payment of 5 lakhs per month, was initiated on January 1, 2017. Exalogic received GST registration on July 1, 2017. Prior to this, Veena Vijayan and her company had not paid GST on the funds received from CMRL. The argument posed by Kuzhalnadan questioned how Veena paid GST in the absence of GST registration before January 17, 2018. He raised doubts about the correctness of the finance department’s letter and the response provided, suggesting that it was meant to obfuscate the issue.
