The government and traders have reached an understanding to implement the vehicle and consignment tracking system (VCTS) in a full-fledged manner only from next fiscal year.
“The understanding has been reached – on the request of traders – to implement VCTS on a voluntary basis in the current fiscal year,” confirmed an official at the Finance Ministry.
A meeting between traders and Finance Ministry officials have agreed to implement the VCTS on a voluntary basis in the current fiscal year and make it mandatory – in goods trading – from the beginning of next fiscal year 2020-21, according to the Finance Ministry.
They also have agreed to form a committee to look into the effectiveness of VCTS in the current fiscal year. “The committee will study on ways to effectively implement the VCTS and practical challenges that could arise during implementation of the system,” informed the Finance Ministry that had implemented the web-based VCTS on July 17, to keep track of the cargo ferrying containers and trucks.
The government has implemented the digital tracking system primarily to control revenue leakages as the government can easily trace vehicular and cargo movements and transportation of goods through VCTS but could not make it mandatory in the current fiscal year as it had not done extensive discussions with the private sector before implementing it.
Though more than 30,000 traders and firms have registered themselves under the VCTS, more traders are against the abrupt implementation of the system citing difficulty in implementing it due to the difficult geography of the country and technical problems related to internet service. Some of the entrepreneurs have also protested claiming the abrupt implementation of the VCTS is ‘impractical.’
In response, the government has been flexibility in making the VCTS mandatory for traders.
However, over 10,000 consignments are being registered in the VCTS every day nowadays despite initial opposition from the private sector, according to the Department of Revenue Investigation (DRI).
After the VCTS will be mandatory, traders will be liable to fines of up to Rs 50,000 for the first time and Rs 75,000 for the second time, if they do not abide by the VCTS rules.
“The understanding has been reached – on the request of traders – to implement VCTS on a voluntary basis in the current fiscal year,” confirmed an official at the Finance Ministry.
A meeting between traders and Finance Ministry officials have agreed to implement the VCTS on a voluntary basis in the current fiscal year and make it mandatory – in goods trading – from the beginning of next fiscal year 2020-21, according to the Finance Ministry.
They also have agreed to form a committee to look into the effectiveness of VCTS in the current fiscal year. “The committee will study on ways to effectively implement the VCTS and practical challenges that could arise during implementation of the system,” informed the Finance Ministry that had implemented the web-based VCTS on July 17, to keep track of the cargo ferrying containers and trucks.
The government has implemented the digital tracking system primarily to control revenue leakages as the government can easily trace vehicular and cargo movements and transportation of goods through VCTS but could not make it mandatory in the current fiscal year as it had not done extensive discussions with the private sector before implementing it.
Though more than 30,000 traders and firms have registered themselves under the VCTS, more traders are against the abrupt implementation of the system citing difficulty in implementing it due to the difficult geography of the country and technical problems related to internet service. Some of the entrepreneurs have also protested claiming the abrupt implementation of the VCTS is ‘impractical.’
In response, the government has been flexibility in making the VCTS mandatory for traders.
However, over 10,000 consignments are being registered in the VCTS every day nowadays despite initial opposition from the private sector, according to the Department of Revenue Investigation (DRI).
After the VCTS will be mandatory, traders will be liable to fines of up to Rs 50,000 for the first time and Rs 75,000 for the second time, if they do not abide by the VCTS rules.
No comments:
Post a Comment