TIOL-DDT 2228 · Monday, 11 November 2013 · story 1 of 6

Service Tax VCES - Olive Leaves in One hand and Gun in other?

WHILE the Government is extending the olive leaves of peace, they are also frequently reminding the delinquents that there is a gun. Choice is yours Olive leaves or Gun. Once the olive leaves are dropped, the Gun is ready for use. But the apprehension of many service providers is whether the gun will also be used after the olive leaves are accepted. Will the declarants be subjected to fishing expeditions and roving inquiries by the Department? Already there are rumours that copies of the declarations are being forwarded to DGCEI and Preventive wings of the department. The other day a Commissioner asked me, "what is your problem if I send the declaration for verification by my Preventive wing?" Absolutely no problem, but a Preventive investigation means summons, statements, harassment, bribes and ……. Recently a Chief Commissioner told me that he has received about three hundred applications. I told him he would get thirty thousand if he could instil a little confidence in the prospective declarants - they are all waiting outside his office watching the situation; a few olive leaves will bring them all inside - and your Scheme will be a success.

And instead of Movie stars advertising the VCES ladoo on TV channels you should have real Commissioners and Chief Commissioners appearing on local TV channels to promote the scheme and you should ask every officer in the department to be brand ambassadors for the Scheme. You should immediately train every officer in the department on the scheme and they should all be able to assist any assesse needing help. I was told that in a Division, from the Assistant Commissioner to the Inspector, nobody knew how to accept a declaration and a declarant had to spend the whole day in that office to file the declaration and finally he got it with some columns like date unfilled. This is a sad state of affairs and needs immediate remedial action.