The Haryana government today took a slew of decisions, including introduction of a scheme to facilitate recovery of tax from builders and writing off ₹84.39 lakh of electricity duty on three firms during a Cabinet meeting here.

The State Cabinet meeting chaired by Chief Minister Manohar Lal Khattar also gave ex-post-facto approval to a Commission inquiring into the Jat quota stir.

Tax scheme for builders

In order to facilitate hassle-free and timely recovery of tax from developers and builders for the period prior to April 1, 2014, the government introduced Haryana Alternative Tax (HAT) Compliance Scheme for Contractors, 2016.

An official said the scheme will enable the government to quickly recover tax for the said period, withheld due to litigation, and also benefit the customers. Haryana already has an existing scheme for builders and developers under which a lumpsum tax at the rate of 1.05 per cent is payable for the period April 1, 2014 onwards. Now, with the introduction of this scheme, a simplified tax at a rate of 1.05 per cent shall be applicable for the period prior to April 1, 2014 also.

As per the scheme, a contractor may exercise his option to apply within 90 days from the date of the notification of the scheme. He shall pay 25 per cent of the total tax payable under the scheme along with the application, and the remaining 75 per cent shall be paid in three equal quarterly instalments.

‘Bad debt’ written off

In another decision, the Cabinet approved the proposal of the Power Department to write off outstanding amount of ₹84.39 lakh of electricity duty on three firms – Competent Alloys, Ballabgarh (₹16.01 lakh), Dalmia Dadri Cement Factory, Dadri (₹30.03 lakh, and Rama Fibers Ltd. Bhiwani (₹38.34 lakh).

The spokesman said the amount could not be recovered despite efforts of the DHBVN and the electricity bills against these firms was declared as ‘bad debt’ by the Nigam. Therefore, it was decided to write off this amount.

The outstanding amount has not been recovered for the last 17 years in case of Competent Alloys, for the last 30 years in the case of Dalmia Dadri Cement Factory, and for 19 years in case of Rama Fibers Ltd. The Cabinet also gave ex-post-facto approval to the appointment of a two-member Commission to inquire into the sequence of events leading to and relating to the occurrence of violence during the February Jat stir. While reitred justice SN Jha is the Chairman of the Commission, former IPS officer NC Padhi is the other member.

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