Singhbhum Chamber of Commerce and Industry (SCCI) requested the state government to defer the payment of advance of sales tax in view of global economic recession.
SCCI officials said they have also requested chief minister Shibu Soren and finance minister Stephen Marandi to take measures to save the industrialists in the region. At present, the industrialists wont be able to pay advance sales tax to the department. We are reeling from crisis, so it is almost impossible for us to pay advance sales tax, said SCCI vice-president Suresh Sonthalia.
He said there were about 800 industrial units in the region dependent on the big industries operating in the region. More than 70 per cent of the industrial units are Tata Motors ancillary. These units have taken a hit due to the slump in the demand of heavy vehicles.
Now, the bigger industrial units have extended the credit limit of 60 days to 90 days. It means the suppliers are getting their payment after a gap of three months, said a member of SCCI.
According to him, the suppliers were required to pay their sales tax due each month. We want that in view of sudden economic downturn, the state government should provide us at least 60 days time to pay the sales tax dues, said Sonthalia.
Moreover, the SCCI in its letter to the government demanded similar relief on payment of electricity dues.
Jharkhand State Electricity Board levied penalty on the defaulter industrial units. We have requested the government to ensure that this penalty is exempted and we are provided some relive in this crisis situation, added Sonthalia.