Government waives MV Tax of Rs. 2,688 crore for RTC

The amount includes waiver of the total tax of Rs. 1,677.80 crore and waiver of penalty for non-payment of tax to the tune of Rs. 1,116.29 crore

May 26, 2014 11:15 pm | Updated 11:16 pm IST - HYDERABAD:

In what was seen as a windfall, Government of Andhra Pradesh on Monday issued orders (G.O. Ms. No. 41) of the Transport, Roads & Buildings Department, ‘adjusting’ the backlog of Motor Vehicle Tax payable by the AP State Road Transport Corporation between the years 1996 and 2012, totalling to a whopping Rs. 2,688 crore approximately.

The amount includes waiver of the total tax, due between 1996-97 and 2010-11, of Rs. 1,677.80 crore and waiver of penalty for non-payment of tax to the tune of Rs. 1,116.29 crore, following a request to the government from the APSRTC.

The GO signed by D. Lakshmi Parthasarathy, Special Chief Secretary (T, R & B), dated May 26 said the government had acceded the request made by APSRTC’s Vice-Chairman & Managing Director, seeking waiver of penalty and also to adjust the dues of MV Tax payable, against the subsidy receivable from the government.

Earlier, on May 15, 2012, following orders from the then Ministers for Transport and Finance, a committee was constituted by the Transport Commissioner under the chairmanship of Additional Commissioner. Very recently, the government, after examining the proposals, gave the go-ahead, according to the GO.

Following the GO, the Assistant Secretary (T,R & B) has been asked to prefer an adjustment bill with the Pay and Accounts Officer for carrying out the adjustment by getting a supplementary grant. The Accountant-General, AP and the Transport Commissioner have also been asked to take the necessary action.

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