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Friday, June 22, 2012

Special training on Central Service Tax for tourism stakeholders to be held soon


DEMAND FOR EXEMPTION FROM RETROSPECTIVE SERVICE TAX SINCE 2006 STILL PENDING
GANGTOK, 21 June: The Joint Action Committee of All Sikkim Tourism Stakeholders [JACASTS] headed by Chairman cum Advisor, SB Subedi has extended gratitude towards the Central Service Tax [CST] authorities for accepting their request on conducting a special training on CST, book of account maintenance, filing of CST and others for the tourism stakeholder of the state in the Capital on 27 June.
Speaking to the press, coordinator, JAC, Paljor Lachungpa mentioned that with respect to CST few of the tourism stake holders of the state were issued notices by the CST office on filing of service tax retrospectively from the year 2006 till 2011, whereas CST was introduced for hotels from 2011 that too for those room tariffs above Rs. 1000.
The JAC taking the help of the Governor Balmiki Prasad Singh, Chief Minister Pawan Chamling, Member of Parliament Lok Sabha and Rajya Sabha and Chief Secretary had been pursuing the CST exemption with the central government including the Prime Minister and Finance Minister to exempt retrospective service tax levied since 2006 till 2011 on all the tourism stakeholders in the state. The Finance Minister has given positive assurance with respect to the exemption demanded and the matter is still pending with the Ministry.
Chairman JAC Mr Subedi stated that, “We were unaware of filing of the CST as there existed no such taxes earlier but we have thought to implement the same only after under going the training provided by the CST authorities that too only from the year 2012”. JAC still hopes and believes that the central government considering the plea made by the state government will definitely exempt the retrospective service tax levied upon some of the tourism stakeholder since 2006.
A total of 48 correspondences with the central authorities using various means and measures considering CST has been met till date wherein the CM, Governor, Union Minister BK Handique, North East MP Forum, MPs from Sikkim State have addressed the issue with the Government of India, Prime Minister and Finance Minister.
He went on to add that if the tourism stakeholders are levied with the retrospective filing of service tax from the year 2006 till 2011, then the stakeholders will face excessive burden.
“We are ready to pay CST that too after we are trained properly by the authorities concerned from the year 2012 and we demand early exemption of the retrospective service tax levied upon stakeholders since 2006 for early implementation of the CST in the state”, added the Chairman JAC.
President, Travel Agent Association of Sikkim [TAAS], Lukendra Rasaily with respect to North East Industrial Investment Promotion Policy [NEIIPP] suggested including certain subsidy for the tourism stakeholders in transportation inclusive of all ranges of hotels across the NE states.
The conference was also attended by Advisor Sikkim Tourism Department, GM Gurung along with President Travel Agent Association of Sikkim [TAAS] Lukendra Rasaily, General Secretary TAAS S Norgay Lachungpa, SATO President Y Dorjee, Sikkim Hotel and Restaurant Association [SHRA] Acting President, members of all the associations respectively.
The JAC has appealed to all the stakeholders state-wide including all travel agencies, hoteliers, home stays to attend the training on 27 June.

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