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After industrialists oppose VAT amendment, govt softens its stand

After the joint action committee of traders and industrialists in Jalandhar opposed the amendments in VAT (value added tax) Act the Punjab government that has now softened its stand on the issue assuring to annul the amendment.
By Ravinder Vasudeva | Hindustan Times, Jalandhar
UPDATED ON JUL 20, 2014 10:44 PM IST

After the joint action committee of traders and industrialists in Jalandhar opposed the amendments in VAT (value added tax) Act the Punjab government that has now softened its stand on the issue assuring to annul the amendment.


KD Bhandari, chief parliamentary secretary (CPS) and BJP MLA from Jalandhar North, said the deputy chief minister, who also holds the portfolio of excise and taxation department, on Saturday assured him that the controversial amendment in the VAT Act would not be made without the industrialists' approval.

Members of the joint action committee said after this amendment, they would have to submit VAT for their stock.

On Friday, the committee had announced that they would file their VAT return in protest against the move to amend section 13(1) of the VAT Act.

"When I apprised the deputy CM about the impact of this amendment, he assured me to give a fresh look at the decision with immediate effect as demanded by the industrialists. I informed him that industrialists would incur huge losses if this amendment comes into force," said Bhandhari.
Ravinder Dhir, senior member of the joint action committee, said Bhandhari also informed them about the government's move to annul the amendment.

"But we would not believe in mere words. We want the copy of the orders for annuling the amendment. Earlier also, the CPS had given us several assurances over different issues which are yet to be fulfilled," said Dhir.

Gurcharan Singh, president, Hand Tool Industry, Jalandhar, said the joint action committee would launch agitation and not file VAT returns for this quarter if the government orders to annul the amendment did not come in force within five days.

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