SHILLONG: The KHADC has incurred revenue loss to the tune of Rs 59.96 lakh due to non-deduction of Value Added Tax (VAT) from 1,059 construction works executed by different contractors in 2009-10, a report by the Comptroller and Auditor General (CAG) showed.
The CAG report revealed that the matter was reported to the Council in August 2014. In reply, the secretary, Executive Committee of the Council, in February 2015 furbished some exemption certificates related to exemption of income tax and not VAT.
On the other hand, the CAG showed non-realisation of professional tax by the KHADC whereas a scrutiny of the Assessment Register of the Council revealed that professional tax of Rs 49.74 lakh (up to 2009-10) in respect of the officials of the 103 government offices and departments was outstanding. The CAG further mentioned that the District Council’s Secretary of the Executive Committee (SEC) stated in February 2015 that out of the Rs 49.74 lakh, professional tax of Rs 22.76 lakh had been recovered and measures have been taken to realise the amount. The balance amount of Rs 26.98 lakh, however, is still outstanding till September 2015.
