ALL INDIA ASSOCIATION OF
CENTRAL EXCISE
GAZETTED EXECUTIVE OFFICERS
President: Address for
communication: Secretary General:
R. Chandramouli 240, Razapur,
Ghaziabad-201001 (U.P.) Ravi Malik
Mob. 08939955463 mail Id:ravimalik_sweet@yahoo.com,
Site: cengoindia.blogspot.in Mob. 09868816290
Vice Presidents: P. Parwani, L. L. Singhvi (Central); Anurag Chaudhary, Ravi Joshi
(North); N. Raman, G. Srinath (South); B. K. Sinha, Ashwini Majhi (East);
Rajesh Chaher, J. D. Patil (West) Joint Secretaries: Anand Kishore, J.
S. Iyer (Central); R. K. Solanki, Ashish Vajpeyi (North); M. Nagaraju,
Ajithkumar P. C. (South); P. K. Sen, S. Bhattachariya (East); Jasram Meena, M.
K. Mishra (West) Office Secretary: C. S. SharmaTreasurer: N. R.
Manda Liaison Secretary: A. S. Kundu
Coordinator on Telangana: P. Shravan
Kumar
(Recognised
by G.O.I., Min. of Fin. vide letter F.No. B. 12017/10/2006-Ad.IV A Dt.21.01.08)
Ref. No. 156/AIB/G/16
Dt. 04.10.16
To,
Sh. Arun Jaitely,
Hon’ble Finance Minister, Government of India,
North Block, New Delhi.
Sub: Retention of assessees above the
annual turnover limit of Rs. 20 lakh p.a. with the Centre for the purpose of
collection of CGST & IGST.
Sir,
It is submitted with due regards that the Association came to know through media that the 1st
& 2nd meetings of the GST Council were
held on 22nd/23rd & 30th September, 2016
wherein following decisions, inter-alia, were taken and consensus was arrived among
Centre and States:
·
Exemption threshold for GST to increased to
Rs. 20 lakh p.a. from Rs. 10 lakh p.a. as envisaged in draft GST Model Laws.
For North-Eastern and Hilly states, the threshold exemption limit increased to
Rs. 10 lakh from Rs. 5 lakh.
·
The manufacturers and suppliers having annual
turnover ranging from Rs. 20 lakh p.a. to Rs. 1.50 crore p.a., who would be
subjected to levy of CGST in lieu of Central Excise Duty (currently exempted
from Central Excise Duty) would be controlled by States for the purpose of CGST
& SGST both and thus, Central Government would have no control over these
assessees.
2. It has
further come to notice of the Association that the States and their employees
have now started demanding for their control over Service Tax assessees also
falling within the annual turnover limit of Rs. 20 lakh p.a. to Rs. 1.50 crore
p.a. due to a liberal stand shown by the Centre towards allocation of its
Excise manufacturers having annual turnover ranging from Rs. 20 lakh p.a. to
Rs. 1.50 crore p.a. to States. The Centre appears to be showing leniency
towards States to implement GST at any cost w.e.f. 1st April, 2017.
3. It is further
submitted that CBEC and its officers & employees are smoothly, hassle-freely
and effectively collecting Central Excise duty from 1944 and Service Tax from
1994. These officers and employees have always contributed the Indirect Taxes collection
to the Union Government always over and above the Budgetary Targets.
The CBEC and its officers & employees have, thus, experience and expertise
of more than 70 years for levy and collection of Union Indirect taxes which is
missing with state officers. The CBEC has its establishment of field offices at
least at each and every district level and spread its network of offices across
the country.
4. Further
vide section 18 of the Constitution (one hundred and first amendment) Act,
2016, the Centre has to compulsorily compensate to all States for the loss of
their revenue arising on account of implementation of GST for a period of 5
years. Thus, there will be another burden on Centre to collect more and more
revenue of CGST so that a huge amount out of the CGST collected may be
distributed amongst all States to compensate their huge (expected) loss of
revenue for the next 5 years.
5. In the
above said circumstances, the Association strongly demands and request, yourself
being the Union Finance Minister and Chairperson of the GST Council, that none of the assessees of Central Excise (to
be levied CGST on the supply of goods) and Service Tax (to be levied CGST on
the supply of services) should be transferred to the States for the purpose of
levy and collection of CGST by the officers of States. All Central Excise and
Service Tax assessees falling above the annual turnover of Rs. 20 lakh should necessarily
be controlled by Centre and its officers only. No need to say that we require a strong & powerful Centre in our
Federal system.
7. Accordingly,
this Association strongly demands that all assessees of Central Excise and
Service Tax falling above the annual turnover of Rs. 20 lakh p.a. should only
be controlled by Centre for the purpose of levy and collection of CGST &
IGST. Further, there should not be allowed any cross utilization of powers for
collection of CGST, IGST and SGST among the Central Government officers and
State Government officers.
8. In
view of the above, it is requested to consider all of above points to
strengthen the Centre. It is also requested to consult the Associations of
affected officers of CBEC to take any further decision on the GST. If ignored,
these Associations would be compelled to initiate non co-operation movement as
below as per the decision taken by the Associations under CBEC representing
Group ‘A’ to ‘C’ officers in the meeting held in Mumbai on 01.10.16 towards the
implementation of GST against the unilateral decisions taken by the GST Council-
i) Peaceful Lunch Hour gathering in front of the residence of your
goodself on 14.10.16 to hand-over the Memorandum and Lunch Hour peaceful protests
in front of every Headquarters Office throughout the country.
ii)
Peaceful Lunch Hour protests on 09.11.16 in all CCA offices throughout the
country.
iii) Wearing
of Black Badge in all offices on 07.12.16 throughout the country.
iv)
Day long protest programme in front of all CCA offices on 05.01.17 throughout
the country.
v)
Mass Casual Leave on Budget Day by all officers.
Yours faithfully,
(RAVI MALIK),
Secretary General.
Copy with the request for necessary action to:
1. The
MOS (Revenue), Department of Revenue, Ministry of Finance, North Block, New
Delhi.
2. The
Revenue Secretary, North Block, New Delhi
3. The
Chairman, CBEC, North Block, New Delhi.
(RAVI MALIK)