The Principal Accountant General of Odisha Bibhudutta Basantia on Friday informed that the test check of records of tax and non-tax receipts revealed under-assessment/ short levy/ loss of Rs 1,592.96 crore revenue in a total of 27,077 cases in 2019-20.
As per the report of the Comptroller and Auditor General (CAG) of India on Odisha’s Revenue Sector for 2019-20, the percentage of revenue raised by State government to the total revenue of the State increased from 44.79 per cent in 2018-19 to 46.31 per cent in 2019-20.
During the year 2019-20, assessment files, returns, refund registers and other relevant records involving tax effect of Rs 1,295.47 crore were not made available to audit for scrutiny.
The application of lower rate of tax during assessment of the unspecified items under the OVAT Act resulted in short-levy of tax of Rs 1.63 crore and penalty of Rs 3.26 crore. The Assessing Authority irregularly allowed credit notes issued to individual customers which led to short levy of tax and penalty of Rs 1.35 crore.
The Assessing Authority allowed excess deduction towards labour and service charges which resulted in short levy of tax and penalty worth Rs 14.79 lakh. The Assessing Authority did not levy entry tax on sales of scheduled goods resulting in short-levy of ET worth Rs 19 lakh along with penalty worth Rs 38 lakh on the tax assessed.
Excess adjustment of payments of tax resulted in short demand of entry tax worth Rs 33 lakh. Non-levy of entry tax on sales turnover of scheduled goods resulted in short levy of tax and penalty worth Rs 13.39 lakh.
The refund claims of 3,122 cases worth 2653.68 crore under Goods and Services Tax Act were received as of 31 March 2020. Out of these cases, refunds were allowed in 1,835 cases involving Rs 304.58 crore, 1,078 cases involving Rs 251.32 crore were rejected and 209 cases involving Rs 97.78 crore were pending for disposal.
In case of State Excise Duty, audit find failure on the part of District Excise Offices to raise demand against the licensees who did not lift entire Minimum Guaranteed Quantity of Country Liquor, Indian Made Foreign Liquor and Beer, the Excise Duty with fine of Rs 8.31 crore remained unrealised.
Stamp Duty and Registration fee of Rs 8.28 crore was short realised on ‘Agreement to sale and Development Agreements’, ‘Undervaluation of partition deed’, ‘Lease Agreements executed to let or sub-let the immovable property on rent for commercial use’, ‘Power of attorney instruments in lieu of conveyance’, ‘Lease deeds due to non-adherence to provision of IS Act, 1899’, and undervaluation of Buildings and Super structures.
Besides, as per the audit report, Regional Transport Officers failed to realise the Motor Vehicles tax of Rs 9.52 crore and penalty of Rs 19.04 crore from the owners of 7,634 registered vehicles.
In case of Mining receipts, there's non-realisation of Rs 456.46 crore towards cost price of the iron ore extracted beyond the approved quantity by the Joint Director of Mines from the lessee.
Non-inclusion of sizing charges in the Run-of-Mine price of coal during assessment resulted in short levy of royalty of Rs 41.50 crore with non-realisation of contribution of Rs 13.28 crore to National Mineral Exploration Trust and District Mineral Foundation Fund.
Interest amount of Rs 9.35 crore on delayed payments of royalty and Rs 22.30 lakh on delayed payment of Dead Rent and Surface Rent not realised.