DIMAPUR, APRIL 28 (MExN): The Confederation of Nagaland Chamber of Commerce and Industry (CNCCI) has expressed dismay at the unethical business by certain business establishments and traders in the State.
A press release from the CNCCI informed that many business houses have registered their GST in other states, especially in neighbouring states, paying their GST to those states while importing in bulk for supply, retail and reselling in Nagaland.
It stated that many business establishments and traders are bulk purchasing goods off the counter from other states by paying GST to those states and importing the same to Nagaland for supply, retail and resale.
It further noted that many godowns, distributors, wholesalers, agencies have come up in towns neighbouring the State. “While the CNCCI has no objection to such development, the crux of the matter is most of them pay GST to other states while conveniently wholesaling and distributing their products in Nagaland through small private cargo vans and vehicles throughout the day,” the CNCCI said.
These practices, the CNCCI said, causes GST revenue losses to Nagaland State and its people. “While exact amount of revenue losses cannot be ascertained at this point of time the CNCCI is convinced that it runs into many crores annually,” it claimed.
The confederation cautioned that it would take stern action against these practices and report the same to the appropriate authorities. The CNCCI pointed out that these business establishment and traders have their principle place of business in Nagaland, availing benefits such as roads, electricity, security, sanitation etc from the state. It should be the responsibility of every conscious business establishments and traders to pay GST to Nagaland state for further development, services and facilities, it said.
While appreciating the Department of Taxes for being able to adapt to the GST regime, the CNCCI asked the Sales Tax Department to double up their effort on these three areas to improve the State GST revenue collection.
The CNCCI also directed its Confederates District Chambers to be vigilant of these practices while at the same time assuring the Department of Taxes of full cooperation.
