e-TRIP system round the corner, concerns still remain | punjab | Hindustan Times
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e-TRIP system round the corner, concerns still remain

punjab Updated: Aug 29, 2013 20:48 IST
Sachin Sharma
Sachin Sharma
Hindustan Times
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While the implementation of Electronically Transporting Information within Punjab (e-TRIP) system is round the corner, the industry and traders are still apprehensive of the new system, as the government has failed to clear their doubts about it.

Keeping in view the objections from the industry and traders, the state government had deferred the implementation of the new system for one month with a purpose to give them time to set up the required infrastructure. The other undeclared motive of deferring the implementation was to remove the doubts of industry and trade about the system.

With this purpose chief parliamentary secretary, excise and taxation, Saroop Chand Singla had interacted with the representatives of industry and trade recently and assured them to remove their doubts on the system. Officials of excise and taxation department too had held a meeting with the yarn dealers, who have been opposing the system vehemently.

Even as only two days are left for final implementations of the system, concerns of yarn dealers still remain. In the meeting with excise officials, yarn dealers had suggested that bill through e-TRIP system should be sought in cases where yarn had been supplied to cloth and hosiery manufacturers who would claim VAT refunds on account of exports out of state and rest of transportation should be exempted from the new system.

The excise officials here sent the suggestions to higher officials in the department, but any decision in this regard is yet to come. Radhe Shyam Ahuja, president, Ludhiana Yarn Dealers Association, said they were hopeful that the department would pay heed to their concerns.

Similarly, the plywood manufacturers are still in a fix over the situation. The plywood manufacturers had agreed to pay tax on lump sum basis during a meeting with department officials and there was a proposal of paying Rs 9 lakh per press tax. However, any final decision in this regard is also yet to be taken.

Inderjit Singh Sohal, president, Punjab Plywood Manufacturers Association, said there were many issues which were yet to be resolved for paying tax on lump sum basis.

"Firstly, manufacturers and department are yet to reach on any consensus about the tax to be paid per press. Moreover, the export-oriented manufacturers want to be under the ambit of e-TRIP system because they claim VAT refund on account of exports, whereas smaller manufacturers who cannot pay Rs 9 lakh per press also want to pay tax under the new system," he said, hoping that the issues would be resolved soon.

The situation is similar with the hosiery, nut-bolt and fastener industry, as system for these is to be implemented through transporters.

Fasteners manufacturers are still opposing the system claiming that the state government had exempted the forging and casting industry from e-TRIP system and fasteners also came under the forging industry.

Raj Kumar Singla, general secretary, Federation of Punjab Small Industries Association of India, said the government had rejected their contention and they were planning to approach the court in this matter.

Charan Singh Lohara, chairman, Ludhiana Goods Transport Association, said they had been assured that implementing system through them was not mandatory, and traders would be responsible for filling details of transportation electronically.

When contacted, deputy excise and taxation commissioner Rishipal Singh said the department was going to implement the system as per the direction from September 1 onwards.