As stalemate persists over the implementation of the GST in J&K, the scarcity of essential commodities and goods has been staring at the state with the inflow of goods-laden trucks entering the state coming down nearly by 75 per cent.
According to the official records of the Commercial Taxes Department at Lakhanpur, the gateway of the state, only about 1,750 trucks loaded with goods and essential commodities entered J&K since the nationwide rollout of the GST on July 1.
“Approximately, 2,200 trucks used to enter the state via Lakhanpur toll post on a daily basis before July 1, but the number of such vehicles has come down drastically as the industrialists and traders have cancelled the purchase orders as any fresh order will have to be billed on the basis of the new taxation system, which has not been extended to the state so far,” a senior official of the Commercial Taxes Department said.
The officer said only a few trucks with billing on the GST numbers entered the state during the past three days, but they had to shell out additional tax being levied by the state government as per the previous arrangement.
“The traders have not been placing fresh order because it will make them pay double tax, one under the GST and another being levied by the state government. It will simultaneously lead to the shortage of goods and essential commodities,” the officer said.
Brij Mohan, a Jammu-based trader, said, “The business activity has come to a standstill. Our vehicles with billing under the GST numbers are standing at Lakhanpur and they are unable to enter because it will lead to double tax on them.”
Double tax issue
Only a few trucks with billing on the GST numbers entered the state during the past three days, but they had to shell out additional tax being levied by the state government as per the previous arrangement. The traders have not been placing fresh order because it will make them pay double tax, one under the GST and another being levied by the state government. It will simultaneously lead to the shortage of goods and essential commodities. — Senior official, commercial taxes department