HAL tax waiver estimates tabled in Assembly

The State government on Monday tabled Supplementary Estimates for 2014-15 aggregating to Rs 4,713 crore which includes waiver of tax, interest and penalty on delayed tax payment to the tune of Rs 1,211 crore to the Hindustan Aeronautics Limited (HAL).

According to the supplementary estimates tabled in the Legislative Assembly, Rs 294 crore waiver has been provided to Hindustan Aeronautics Limited in form of interest and penalty on delayed payment of sales tax pertaining to the financial years 1994-95 to 2004-05.

In addition, waiver of Value Added Tax (VAT) and penalty to the tune of Rs 917 crore has been provided to HAL for the period April 1, 2004 to March 31, 2011.
“This is only a book adjustment and does no involve cash flow from the consolidated fund,” the documents states.

In 2011, the Supreme Court had directed the defence ministry and the State government to meet and resolve the dispute over commercial taxes on defence contracts executed by Hindustan Aeronautics Limited. HAL had challenged the tax demand made by the commercial taxes department.

Police Gruha - 2020
In the supplementary estimates, the State government has sought to provide Rs 23.56 crore for modernisation of the police force and Rs 87.02 crore for construction of police quarters under “Police Gruha - 2020” scheme.

The cut in grants for central schemes has also been reflected in the Supplementary Estimates. These includes Rs 24.94 crore for National Mission on Sustainable Agriculture and Rs 14.93 crore on Nirmal Bharath Abhiyan.

The additional expenditure includes Rs 605 crore for payment of pending bills in the Public Works Department (PWD). Rs 15.69 crore has been provided for maintenance  of 517 ambulances under Arogya Kavacha scheme.

DH Newsletter Privacy Policy Get the top news in your inbox
Comments (+)