Srinagar, Jan 23 (KNO): The Federation of Chambers of Industries Kashmir (FCIK) Tuesday solicited the strong recommendation of the UT government to the Union government for grant of amnesty in respect of defaults in Goods and Services Tax (GST), Employees Provident Fund (EFP), Employees State Insurance (ESI) and Income Tax.
Understandably a delegation of the government of Jammu and Kashmir under the leadership of the Chief Secretary is scheduled to meet the Union Finance Ministry in connection with interim budget consultations, a statement issued to the news agency—Kashmir News Observer (KNO) said.
While reiterating these demands, FCIK said that owing to intensification of perpetual stress caused during past several years, a substantial number of industrial enterprises in Jammu and Kashmir had defaulted in regular filing of returns and remission of timely payment towards GST, EFP, ESI and Income Tax.
“These defaulters included those units which have been under perpetual stress for a long time and have also rendered sick for multiple reasons which resulted in their failure in filling GST/ EPF/ESI and Income tax returns on time or did not file at all”, informed FCIK.
In recognition to and consideration of grave problems faced by enterprises here, the FCIK has hoped for positive response by the Union Ministry of Finance and GST Council for grant of amnesty with 100% waivers on additional tax, penalty, interest or any other sum levied against MSMEs by reason of non-payment or late payment of any GST payable by them.
FCIK has also demanded for an amnesty scheme with regard to the defaults of MSMEs in timely remittances of their provident fund contributions, with waiver of all damages and interest chargeable under section 14B of EFP & Miscellaneous Provisions Act of 1952. FCIK has also demanded for settlement of defaulted principal amount in easy installments over next two years.
The amnesty in favour of MSMEs desperately needed to be recommended for waiver on imposition and recovery of damages and interest payable under the regulations set by Employees State Insurance Corporation (ESIC) against defaulting MSMEs who have failed in timely contribution of ESI contributions for their employees. Besides, the corporation needed to settle long pending disputes with the enterprises under a liberal settlement scheme.
The FCIK has also demanded a general amnesty scheme for various defaults identified while processing the returns filed by MSMEs with waiver of interest, penalties and other damages.
FCIK has also hoped that apart from pushing up for the amnesties, the delegation from J&K will also take up other issues confronting industrial growth and promotion in Jammu and Kashmir. The application of the Central Industrial Scheme of 2021 on rejuvenation and scaling up of existing MSMEs was crucial for building and restoring the faith and confidence of existing enterprises—(KNO)