Internet blockade hits GST collection in J&K

teev Sharma

Tribune News Service

Jammu, November 19

Internet blockade in Jammu and Kashmir post revocation of J&K’s special status has led to “considerable dip” in the revenue collections being generated through the filing of Goods and Services Tax (GST) since August 5.

According to officials of the state Taxes Department, there are around 90,000 taxpayers, including businessmen, traders and professionals in the Union Territory (UT) of J&K and a majority of them could not file the GST returns, particularly GSTR-3B, on time due to poor or no access to Internet, especially in Kashmir.

“Although the date of filing of return has been extended till October 20 in view of the representations received from the taxpayers, the percentage of the returns filed during this period has been abysmally low. Only around 40 per cent returns due for this period have been filed so far,” the officials said.

“Given that the continuous extension in the date of filing of returns has led to blockade of revenues (both cash and IGST settlement), there has been considerable dip in the revenue collections for the past three months,” they said.

Keeping in view the emerging situation and address the problems being faced by the taxpayers, the UT administration has now directed all the Deputy Commissioners to facilitate the filing of GST returns through the Internet kiosks located in their respective offices on November 20, which is the due date of filing of GST returns for October, with necessary safeguards.

“Even the returns for July, August and September have not been filed by all the taxpayers, it is requested that the access to the Internet kiosks located in your (DC) offices may be allowed to the taxpayers for at least 10 days (from November 20 to 30, 2019),” a government order said.

PK Bhat, State Taxes, J&K, said the revenue collections had come down because of non-payment of taxes due to non-filing of returns.

Neeraj Anand, president, Chamber of Traders Federation, Jammu, who was part of the delegation that met Union Finance Minister Nirmala Sitharaman for extension of deadlines for returns until Internet services were restored, said large business houses had been able to file their returns in Jammu, but majority of small business groups and traders were not able to do so.

“Though it is a welcome step to give more time to taxpayers for filing of GST returns, yet it cannot be a permanent remedial measure. The government should restore the Internet facility for traders and businessmen. The authorities can do it by blocking all media sites which they think can create trouble or add to rumour-mongering,” Anand said.

Traders have sought extension for filing GSTR-3B, which is used to deposit the tax, GSTR-1 that has details of sale and GSTR-7 that is related to TDS deducted under GST. These are required to be filed every month.