Goa IT Business Association (GIBA) has resolved to approach chief minister Laxmikant Parsekar on the issue of entry tax on goods coming through E Commerce. The associations will also request the CM to impose VAT on courier companies like is being done in states like Kerala.
Mr. Sudheer Prabhu, General Secretary of GIBA said, “In the recently held general meeting, the committee unanimously resolved to meet the CM on OLS issue as it is affecting small retailers and the state is loosing sizable revenue.”
Mr. Prabhu said that along with IT channel, other industries such as garment and FMCG are also severely hit by online sales. He said that GIBA will also arrange meeting with heads of associations of garment and FMCG retailers.
“We will discuss the OLS issue with heads of associations of garment and FMCG retailers and make a combined representation to the government”, Mr. Prabhu said.
Raising concerns over corporate houses buy IT products directly from vendors and peripherals and evade taxes showing it as a capital goods, GIBA has demanded to impose entry taxes on goods originating from other States and delivered in Goa through online deals.
GIBA has submitted a memorandum to the state Commercial Tax Department demanding to look into. Mr. Prabhu said that though the state department agreed to the demand of GIBA, the notification is not out as yet.
He said that GIBA would decide next plan of action after meeting with the CM.