Business volume under e-Trip system growing despite opposition

CHANDIGARH: Punjab Excise and Taxation department today said the initial response towards e-Trip system has been encouraging as volume of transactions under the new mechanism has gone up to 15,000 per day entailing transactions worth Rs 600 crore in the last few days.

The anti-tax evasion e-Trip system had faced stiff opposition from the industry, who said this will lead to harassment for the trade and industrial community.

"The volume of transactions on e-Trip system is going day by day in Punjab as total number transactions has reached 15,000 per day entailing financial value of Rs 600 crore in last few days," Punjab Excise and Taxation Commissioner, Anurag Verma said here today.

"Number of transactions are growing which means trade and industry is adopting e-Trip system," Verma said.

"Day before yesterday, the number of transaction were 10,000 which grew to 15,000 yesterday," he said.

Developing this anti-tax evasion measure on its own, Punjab Excise and Taxation department started implementing e-Trip system from July 17 by bringing six commodities including cotton, mustard, plywood, iron & steel (excluding scrap), yarn and vegetable oil (edible and non-edible) under its ambit, mainly to check under-invoicing.

Under e-Trip system, any dealer or manufacturer selling these goods within the state will be required to submit information regarding the transaction on the website of the department before physical movement of the goods take place.

However, transactions below Rs 50,000 will be exempted. The department is looking additional revenue of Rs 150-200 crore with the implementation of e-Trip system.

"We are not taking any punitive action against any dealer which is not following e-Trip. We are just guiding them to opt for the system as it will lead to a level playing field," he said.

Verma said from next month, the department will enforce the e-Trip system strictly.
Meanwhile, a section of the Punjab trade and industry today warned of observing fast unto death from August 1 if the anti-tax evasion measure is not rolled back.