CAG raps govt for laxity in tax collection

Bhubaneswar: Rapping Odisha Government for laxity in revenue collection, the Comptroller and Auditor General of India has detected under assessment and loss to the tune of Rs 4,713.63 crore during 2013-14 in areas like Value Added Tax, Entry Tax, Excise Duty and Mining Receipts.

“Test check of records of 174 units relating to Odisha Sales Tax/Value Added Tax, Goods and Passengers Tax, Excise Duty… and other non-tax receipts conducted during 2013-14 showed under assessment/short levy/loss of revenue aggregating Rs 4,713.63 crore in 5,10,147 cases,” said a CAG report on Revenue Sector tabled in the state Assembly today.

Departments concerned have accepted under assessment and other deficiencies of Rs 2,379.41 crore involved in 3,98,229 cases, which were pointed out in audit during 2013-14 and collected Rs 4.73 crore in 268 cases pertaining to audit findings of 2013-14 and previous year, it said.

Similarly, test check of records of 170 units under Commercial Tax, Excise, Revenue and Disaster Management, Transport and Steel and Mines departments conducted during the year showed irregular expenditure/payment amounting to Rs 20.15 crore in 806 cases, said the CAG report for the year ended March, 2014.

During the course of the year, departments concerned accepted irregularities of Rs 16.51 crore involved in 748 cases, which were pointed out in audit in 2013-14 and collected Rs 18.70 lakh in 96 cases pertaining to the previous year, it said.

The report further said test check of records of 56 units relating to Odisha Value Added Tax (OVAT), Central Sales Tax (CST), Odisha Entry Tax (OET), Odisha Entertainment Tax and Profession Tax assessments and other records showed under-assessment of tax and other irregularities involving Rs 843.69 crore in 2013-14.

Genuineness of concession/exemption of tax of Rs 191.45 crore availed by 954 dealers without submitting declarations/certificates remained unverified, the report said adding, less payment of tax of Rs 18.89 crore by a dealer under OVAT Act, 2004 remained undetected due to non-scrutiny or ineffective scrutiny of returns.

Claim of concession/exemption of CST of Rs 1,684.26 crore availed by 4,973 dealers remained unverified, the CAG report said adding, Differential State Excise Duty of Rs 4.04 crore on annual closing stock of 2012-13 was not realised from Odisha State Beverage Corporation.

Motor Vehicle Tax and additional tax of Rs 3.34 crore remained unrealised from 956 goods carriages of other states/regions, while penalty of Rs 6.68 crore was also levied, it said.

Similarly, Motor Vehicle Tax and additional tax of Rs 101.79 crore including penalty was not/short realised in respect of vehicles under different categories, it said.

On mining receipts, the CAG said Rs 33.02 crore was not realised from Mahanadi Coalfields Ltd towards cost of coal extracted beyond the approved plan, while Rs 8.07 crore was not levied on 3.34 lakh tonne chrome ore.