From now on, the Punjab Government would pay VAT (value added tax) refunds to industrialists online on the basis of star-rating system.
The announcement was made on Wednesday following Deputy Chief Minister Sukhbir Badal’s meeting with senior BJP leaders, including Industries Minister Madan Mohan Mittal, labour Minister Bhagat Chunni lal, political advisor of the Chief Minister Tikshan Sud, and Trader Board’s former chairman Narottam Ratti on late Tuesday evening.
Under the star-rating system, five categories have been formed and the time-frame of paying refunds will be based on it. “The highest tax payer would be adjudged as the ‘five-star payee’ and refunds would be paid within 15 days. Similarly, VAT refund to four, three, and two star rated traders would be paid online within 25, 35 and 45 days respectively,” said Sukhbir.
He added that the criteria for such ratings “would be determined on various parameters including the standing of the company, imports, exports, general turnover, past records and self assessment case file”. “Whenever a star dealer applies for the refund, the concerned AETC would take up his case on priority and on the basis of preliminary scrutiny refund would be transferred within a fixed time,” he added.
“Within 45 days of issue of refund, the AETC would complete thorough scrutiny of all refund applications and in case of any deliberate or fraudulently wrong claim of refund, the department would impose appropriate penalty prescribed in the policy”, he said. Deputy Chief Minister also announced that 200 traders would be awarded for paying the highest amount of taxes in various categories at the time of unveiling the Traders’ Policy on November 14.