Excelsior Correspondent
JAMMU, Dec 16: The Jammu Chamber of commerce and Indsutries (JCCI) and CII J&K State Council held pre-Budget discussions with the Finance Minister Dr Haseeb Drabu here today and also forwarded some proposals for inclusion in the State Budget.
The JCCI held meeting with the Finance Minister at Excise and Taxation office, Rail Head Complex Jammu wherein, threadbare discussions were held regarding existing taxation system and in the forthcoming GST system. The Chamber delegation led by its president, Rakesh Gupta presented a memorandum with charter of demands.
The Jammu Chamber also demanded immediate announcement of amnesty on Passenger Tax and Commercial / Industrial Power outstanding bills. The CCI stressed for amnesty on account of faults in classification in VAT Act. It also sought exemption of Entertainment Tax on games zone. The Chamber demanded that the power tariff for the hotels and service industry should be brought at par with industrial tariff and also amnesty on old recoveries be granted wherein interest and penalty be waived off as one time settlement for hotels and shops and industries.
Referring to the creation of new wholesale markets, the Chamber said that it is
almost 50 years now that one warehouse came into existence at Bikram Chowk to transact the wholesale business and thereafter, no such places were identified to be developed for expanding the business. This lack of vision has resulted into total congestion and saturation in the Jammu city. It is requested that
the adequate funds be earmarked for trade specific additional warehouses / IT parks and cold storages. It was further submitted that VAT on software that is used for VAT billing be exempted from taxation.
The JCCI stressed that exemption on paddy, rice, wheat, pulses, flour/ atta, maida, suji, besan and dhalia be continued on the same pattern and as such necessary orders be issued by the Finance Department to keep these products in Zero % category. Chamber also demanded that the Toll tax being charged on import of fresh fruits and vegetables be totally exempted on the same pattern of exemption on export of apple. JCCI stressed that free hold rights for industrial units be accorded to the locals. It also requested that power amnesty scheme for closed units be launched.
Huge amount of Govt money as electricity charges are under dispute with the existing/ running industrial units. Chamber requests that an amnesty scheme at par with domestic power amnesty scheme issued by the Government earlier should also be announced for industrial units having dispute of power bills. Entry tax on Import of machinery and spares be lifted. It was requested to announce amnesty on the cases of passenger tax considering the conditions on the grounds by which the transport sector has been hit badly. It was proposed for creation of new Industrial Estates in the State.
Chamber said that the export of cricket bats are exempted from the purview of toll tax as per the industrial incentives available in the State for which an exemption form is required to be filled which is not only time consuming but also hamper the export process. It is requested that toll tax on export of Cricket bats should be totally exempted. Special cluster for Cricket bat Industry be created near Jammu, Bishnah or Nagrota. It was also pointed out that to give boost to the Cricket bat industry the UP Government has exempted CST and submission of C-forms for sports goods including cricket bats due to which the trade of sports goods including the cricket bat has diverted from our State to UP and our cricket bat manufacturing industry is facing crunch on this account. The willow clefts are being produced in our State but the UP Government is harnessing the benefits. It is requested that to save the cricket bat industry of J&K , the submission of C-forms as well as CST should be exempted for sports goods.
It was also pleaded that no more enhancement in Toll rates be made as already 0.80 paisa per kilo is imposed on goods apart from entry tax making goods more costlier. The payment to contractors and Industrial units against supply to Government departments should be made through E-payment above Rs 5000 as notified by Central Government.
Referring to Toll tax exemption, it was submitted that toll tax exemption should be made available to all industrial units without submission of exemption forms and it should be on self affirmation of the entrepreneurs. It was also pleaded that existing incentive of VAT remission on finished goods and cashless VAT refund on raw materials purchased through SICOP is expiring on 31-03-2017 which needs to be further extended. It was requested to the FM that all the incentives available to the industrial units during VAT regime should continue after implementation of GST Act in our state.
Arun Gupta- secretary general, Rahul Mahajan- secretary and Ashu Gupta- treasurer also accompanied.
Meanwhile, CII delegation led by Rahul Sahai, vice chairman, CII J&K State Council also met Finance Minister Dr Haseeb Drabu, today to present pre- Budget memorandum for J&K State.
Mr Sahai highlighted the concerns of the Industry and recommended round the clock functioning of Lakhanpur Toll Post and also mentioned that no entry tax should be levied on material handling equipment. He recommended Automated Toll Collection System using RFID which helps to tackle the problem of congestion at the Toll Plazas. Moreover, it assures time saving, fuel conservation and also contributing in saving of money. He also called for the long-pending need of youth of having a strong Start up Scheme in the State for giving strong foundation to the dreams of young aspiring entrepreneurs.
On ‘Ease of Doing Business’, he recommended that the single window system must be brought under IT platform and made online. This would facilitate effective tracking and monitoring of the applications he added. The memorandum presented also include recommendation on the sectors including Agro & Food Processing, Tourism, Skill development, IT, Innovation, Research & Development as also encouraging exports and development of small units.
Sanjay Puri, former Chairman, CII J&K State Council requested Finance Minister to bring in the cash-less transactions. He stated that this will ensure 100% corruption free conduct. Further adding, Mr Puri asked for the removal of exemption from wheat bran, as it is being misused by the producers of sub-standard products that are imported from outside the state and are sold at a higher price without passing benefits to the local consumer.
Besides these, recommendations on VAT refunds, Entry Tax, single window clearance for tourism, special railways connecting industrial towns of Ludhiana, Amritsar and Chandigarh etc were also given.
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