Excelsior Correspondent
JAMMU, Feb 18: Despite maintaining that there would be no comprise on tax recovery from the defaulters, the Minister for Finance and Ladakh Affairs Abdul Rahim Rather today admitted that some difficulties were being faced by the Government in this regard.
“Several defaulting dealers are missing to evade action and realization of taxes by the Government while some others have got stay orders from competent forums,” he said while replying to the debate on demand of grants for Finance, Ladakh Affairs, Planning and Development Departments in the Legislative Assembly today.
The Finance Minister informed that he had asked the concerned departments to verify all the facts regarding missing dealers and certify him about the same for further action in this regard.
Maintaining that every step envisaged under law was being taken to recover the arrears which include attachment of property, bank accounts, arrests etc, Mr Rather sought to explain that the tax assessment and realization was a continuous process and the Government was moving ahead in this direction. “The Commercial Taxes Department has recovered about Rs 41.86 crore during the current financial year up to December,” he said, adding that the progress of recoveries of arrears was being regularly reviewed and monitored at the highest level through regular review meetings.
“Besides, the High Court is also monitoring the progress of recoveries and issues directions from time to time in a PIL,” he said, adding that every effort under law was being made to recover all arrears and stringent action as warranted under law shall be taken against tax defaulters irrespective of their status and position.
The Finance Minister also sought to dispelled the notion that more taxes are collected from Jammu division as compared to Kashmir, claiming that there was a significant contribution of each Jammu, Kashmir and Ladakh regions to the overall tax collection in the State. “It is also incorrect to say that more funds are provided to Kashmir division as compared to Jammu division. The question of discrimination against any region does not arise,” he emphatically said.
Mr Rather said that the entry tax collected at the check post is in respect of use of goods in all the three regions of the State but is charged only at Lakhanpur check post and is not assigned to any particular division. “Similarly the entire tax amount realized on account of petrol and diesel under Motor Spirit Tax (MST) Act is collected only at single point in Jammu while due to turmoil in the Kashmir region, most of the national and multi national companies shifted their depots from Kashmir division to Jammu division but these companies supply goods to Srinagar which have paid taxes to the tune of Rs 648 crore during the current year,” he explained.
Mr Rather said that the Government was striving to provide congenial working atmosphere both for dealers and its employees. “For this purpose, an ambitious computerization project of the Commercial Taxes Department has been undertaken which has facilitated the dealer to opt for e-filling of their returns thereby minimizing their direct interface with the field agencies, which had been a cause of hardship to them,” he said.
The Minister said that after Grievances Redressed Cell, the Government also proposes to set up an Advisory Committee which will include representatives from Trade and Industry to redress their grievances.
Replying to a query, Mr Rather said use of liquor during social functions without prior permission of the concerned authorities was in violation of the rules, adding that the concerned departments shall be instructed to act though against such violations.
Mr Rather said the Government was not averse to prohibition of liquor in the State but it needs consensus of House. He added that during his 4 times stint as Finance Minister of the J&K State, “he has not issued a single liquor license neither shall he issue such a license in future for obvious reasons”. He said there was a need for launching a vigorous awareness campaign against drinking and asked the members of the House to contribute their bit in this regard.
Earlier, the Minister moved a demand for grants amounting to a sum of Rs 11170.28 crore to defray the charges which will come in the course of payment during the year ending March 31, 2015 for departments and PSUs under his charge.
After a discussion on the demand, the House unanimously passed required grants as demanded by the Minister. The House simultaneously passed grants amounting to Rs. 3542.19 crore for the Planning & Development Department.