Excelsior Correspondent
Srinagar, Feb 19: The authorities have started levying tax on Industrialists under the Building and other Construction Workers (Regulation of Employment and Condition of Service Act) Act which was made operative in J&K in 2006.
In this regard, notice has been served to Industrialists who have constructed buildings for industrial use last over a decade.
An industrialist at Lassipora in Pulwama has been asked to deposit a cess to the tune of Rs 1lakh.
“Whereas a notice was served to you…dated 17-12-2020 for deposition of Cess amount to the tune of Rs 100000 …but despite giving you ample opportunity to comply with the directions you fail to deposit the mandatory cess amount…” reads a notice issued by the Assistant Labour Commissioner, Pulwama to an industrialist.
The notice further reads that before proceeding further, “you are given a final notice to deposit the cess with this authority by or before February 15, 2012 failing which the said amount be recovered as an arrest of land revenue.”
As per the notice, the Cess levied under Sub Section 1 shall be collected from every employee in such manner and at such rate, including deduction at source in relation to building or other construction work of a Government or of public section undertaking or advance collection through a local authority.
It said that the Parliament enacted the Building and Other Construction Workers Act, 1996…which provides for levy and collection of Cess on the cost of Construction incurred by an employer. “The Building and Other Construction Workers Act, 1996 and rules made thereunder have become operative in the state of J&K w.e.f January 2006,” it reads.
Federation Chamber of Industries Kashmir (FCIK) president Shahid Kamili, expressed concern over the government’s decision to levy cess on industrialists. He said that industry is suffering losses for decades particularly since Aug 2019 and the levying of cess will have further adverse impact on industries.
“The industrialists are very upset with the government order and the FCIK has called for emergency meeting tomorrow to discuss the issue”, he said.