Finance Minister Harpal Singh Cheema Pushes for GST Compensation and Research Grant Exemption at 54th GST Council Meeting
Punjab volunteers for pilot project on Business-to-Consumer e-invoicing to increase tax compliance
Chandigarh, September 11-Punjab Finance, Planning, Excise, and Taxation Minister Advocate Harpal Singh Cheema has apprised the GST Council that state's effective taxation rate has significantly decreased since GST implementation, therefore considering the low GST Revenue, the Council must look at ways to compensate states that are losing revenue due to the implementation of GST. He also passionately advocated for exempting research grants from GST net, emphasizing education as a top priority for the Punjab Government.
In a press release summarizing the 54th GST Council meeting, the Excise department's official spokesperson revealed that Finance Minister Harpal Singh Cheema informed the council that as tax rates under GST regime are no longer under state control, Punjab cannot offset losses resulting from change in tax system. Furthermore, since Punjab's industries manufacture goods consumed in other states, the state receives lower IGST settlements. Given the low GST revenue, Minister Cheema urged the council to explore ways to compensate states losing revenue due to GST implementation. The GST Council acknowledged his suggestion and assured prompt action.
Finance Minister Cheema argued in favor of exempting research grants from GST, citing the importance of promoting education as a top priority for the Punjab Government. The GST Council agreed to exempt research grants, including private grants to government institutions, research associations, universities, colleges, and other institutions notified under Section 35 of the Income Tax Act.
Punjab welcomed the GST Council's decisions to tax metal scrap on a reverse charge basis, along with TDS at 2% on B2B transactions. However, Minister Cheema recommended, re-examining the Reverse Charge Mechanism (RCM) rate on metal scrap, proposing a reduction to 5%. The GST Council took note of the suggestion and assured appropriate action on the matter raised by the Hon Minister.
Minister Cheema also advocated for reducing or exempting GST on premiums paid on health and term insurance, benefiting the common man. Although no consensus was reached, the Council recommended a Group of Ministers (GoM) to submit a report by October 2024.
The Finance Minister Harpal Singh Cheema also objected to recoveries from states due to a negative balance in the IGST ledger and recommended forming a committee of officers to assess the actual reasons for the negative balance. The Council agreed to this request.
The GST Council exempted ancillary services of transmission and distribution of electricity, and Minister Cheema requested prospective exemption and regularization of the past period on an 'as is where is' basis, which was accepted. Punjab also proposed imposing GST on commercial properties through the Reverse Charge Mechanism to simplify tax collection. The proposal was accepted unanimously by the Council.
Regarding the amendment to mandate furnishing of bank account details within 30 days of registration, Minister Cheema suggested reducing the timeframe to 15 days to prevent unscrupulous elements from entering the system while protecting genuine taxpayers. The Council agreed to consider the proposal.
Punjab volunteered for a pilot project on Business-to-Consumer e-invoicing to increase tax compliance. The GST Council also discussed the establishment of GST Appellate Tribunals, and Punjab is ready to set up the tribunal with the proposed location changed to Chandigarh and an additional bench in Jalandhar. It was informed that the said proposal of the Punjab Government to change the location of the principal bench and additional sitting bench had been accepted.
=========================
PUNJAB POLICE IN JOINT OPS WITH PROTECTORATE OF EMIGRANTS LAUNCH CRACKDOWN AGAINST ILLEGAL TRAVEL AGENTS; 25 BOOKED
— PUNJAB POLICE COMMITTED TO PROTECT ASPIRING YOUTH FROM ILLEGAL TRAVEL AGENTS AS PER DIRECTIONS OF CM BHAGWANT SINGH MANN
— 20 FIRs HAVE BEEN REGISTERED AT VARIOUS NRI POLICE STATIONS ACROSS STATE
— THESE UNSCRUPULOUS TRAVEL AGENTS SANS REQUISITE LICENSE WERE USING SOCIAL MEDIA TO LURE YOUTH WITH OVERSEAS JOBS, SAYS ADGP NRI AFFAIRS
— ADGP PRAVEEN K SINHA EXHORTS PUBLIC TO ONLY ENGAGE AGENCIES WITH VALID RECRUITING AGENT (RA) LICENSE
CHANDIGARH, September 11:In a bid to protect the youth aspiring to settle abroad from falling prey to illegal travel agents as per the directions of Chief Minister Bhagwant Singh Mann, Punjab Police’s NRI Affairs Wing and Cyber Crime Wing in coordination with the Protectorate of Emigrants, Chandigarh, have booked as many as 25 travel agents in the State for illegally advertising employment opportunities on social media.
Pertinently, Protectorate of Emmigrants had red-flagged the advertising on Instagram and Facebook for jobs in foreign countries by such unscrupulous travel agencies.
ADGP NRI Affairs Praveen K Sinha on Wednesday informed that these unscrupulous travel agencies were advertising jobs abroad on Instagram and Facebook without possessing the requisite license and permissions.
“We checked the online platforms, verified their credentials covertly and registered FIRs against them,” he said, while adding that a total of 20 FIRs have been registered under sections 24/25 of the Emigration Acts in various NRI Police Stations in the state including at Amritsar, Jalandhar, Kapurthala, Hoshiarpur, Ludhiana, Patiala, Sangrur and SAS Nagar.
The ADGP said that this operation specifically targeted those illegal Travel Agents, who were advertising on online platforms offering promising overseas jobs to unsuspecting victims, mostly youths, and fleecing them of their, or their parents’, hard earned money. Further investigation in on, he added.
ADGP Praveen Sinha exhorted citizens to be cautious and verify travel agents' credentials before entrusting them with documents and money. "Only engage agencies with a valid Recruiting Agent (RA) license under the Emigration Act, 1983 and always ask for the license of the Agency issued under the said Act. Verify and then trust, should be the working principle while engaging travel agents” he advised.
============================================
VIGILANCE BUREAU ARRESTS PATWARI IN CORRUPTION CASE FOR TAKING RS. 5 LAKH BRIBE
Chandigarh September 11, 2024 -The Punjab Vigilance Bureau (VB), on Wednesday, has arrested Kuldeep Singh, Patwari (now Kanungo), posted in revenue circle Dumewal, Tehsil Nangal, in Roopnagar district for entering illegal transfer/mutation of land of village Karuran, Tehsil Nurpurbedi, to the department of Forests Punjab.
Disclosing this here today an official spokesperson of the state VB said in this regard a case FIR No. 69, dated 28.06.2022 had already been registered under section 420, 465, 467, 468, 471, 120-B of IPC and section 7, 7A, 8, 13 of Prevention of Corruption Act at police station Nurpurbedi, in Roopnagar.
He further added that in the year 2020, officials/officers of the state department of Revenue and department of Forests, in connivance with private persons, got registered 54 acres low-valued land of village Karuran, Tehsil Nurpurbedi, at inflated prices in the name of Forests department thereby inflicting a loss of Rs. 5.35 crores to the State government.
The spokesperson revealed that the above-mentioned accused Patwari Kuldeep Singh, in collusion with private persons, registered this illegal/fake transfer of land and then, in connivance with Raghvir Singh, the then Naib-Tehsildar, approved 73 fake mutations and transfers. He added that during the probe it was found that the said accused had took Rs. 5 lakh as bribe on 15.09.2020 in lieu of the said work and got deposited the same in an old bank account at Amritsar belonging to his wife Sanpreet Sekhon.
He further informed that the said accused Patwari would be produced in the competent court tomorrow and further investigation into this case was under progress.