A delegation of the Federation of Punjab Small Industries Associations (FOPSIA) met Chief Parliamentary Secretary (CPS) for Excise and Taxation Sarup Singla today. The team told him that there is a need to set up an enquiry against officers falling in the areas of the dealers who were involved in the bogus bill scam. Such a big scandal would have been impossible without the shelter of officials,the members pointed out.
The scam was unearthed in the first week of July and so far more than 150 companies that have claimed input tax credit after presenting bogus bills have been sent notices. Even more than three years back as well,a multi-crore rupee bogus bill scam was unearthed. FOPSIA suggested that if the reward policy is there,there must be a penalty policy too for irregularities.
FOPSIA President Badish Jindal said that to prevent bogus bill incidents,a strict watch on E-filings by new assessees needs to be done. In bogus bill scams,new companies were formed by these bogus dealers,he observed.
The team also requested the CPS to reduce the VAT on diesel engines and abolish it on bicycle parts as this is used by the weaker sections and is eco-friendly. FOPSIA requested that an incentive of VAT reduction should be given if a company increases its sale which will result into more revenues for the government.
It was requested that the notification of checking of units by inspectors should be immediately removed as this would create a conflict between the department and industry and result in corruption.
Singla assured FOPSIA that he would arrange a meeting of industry representatives with the deputy CM and state excise and taxation commissioner to sort out the issues. Rajkumar Singla and Naresh Aggarwal of the association to were present at the meeting.