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Mobile app to rein in tax evasion conks out
A Mobile App developed by the State government to curb evasion of taxes by various dealers under the new tax regime- GST remains a nonstarter
Hyderabad: A Mobile App developed by the State government to curb evasion of taxes by various dealers under the new tax regime- GST remains a nonstarter.
Following reports that some commercial establishments were fleecing customers in the name of GST, the Commercial Taxes department created the App in July, the same month when the new tax regime was introduced in the country.
The App has been developed to enable customers to post their bills online instantly and verify whether the registered dealers collected taxes on the purchased products and services within the tax slabs. Soon after the consumers posted the bills on the app, they will also get a reply whether the dealer was registered in the GST system or not.
The government also wanted to make the consumers active partners in the implementation of the new tax system. It was also planned to provide incentives to those who upload the bills.
The officials said that the State government could not bring the App into force for the last two months as it found many technical glitches in the enforcement of IT applications under the GST at national level.
The websites of GST Network (GSTN) and GST were crashing due to heavy traffic as many dealers were still uploading registration applications on the portal. The interlinking of State government treasuries, Commercial Taxes Department with the RBI and GSTN and tracking the transactions on a day to day basis also puts a heavy burden on the network since the launch of the new tax system.
Under these circumstances, the launch of an exclusive App to monitor the tax collections from the consumers is impossible and officials said that nearly 70,000 traders were registered on the GSTN in Telangana. The issue of a hassle free IT network in the filings by the traders and the GSTN backup to the proposed App would be discussed in the meeting organised by the IT group in the GST Council on Wednesday in Benguluru.
The officials said that the State government was also busy preparing a strong fool-proof mechanism to check hefty tax being collected by shops, hotels and other commercial establishments on the pretext of higher tax slabs under the GST.
As many as 3,000 complaints were already received in Greater Hyderabad and other urban areas against the traders for collecting huge taxes. Cases were also booked against them and action was initiated.
