Overcharging retailers will be punished: TN

Chennai: Tamil Nadu Government on Monday warned of "strict action" against retailers charging rates beyond stipulated GST while announcing a dedicated cell to deal with such complaints across the state.

Finance minister D. Jayakumar said the government has received complaints that some retailers have been charging GST for products that does not come under the purview of the new tax regime apart from overcharging.

"Such retailers and people will be sternly dealt with. Strict legal action will be taken against such retailers. And the government has come out with a dedicated cell with the commercial taxes department where people can complain about all kinds of problems that face with GST," Mr Jayakumar told reporters here.

"I also received complaints that GST is being charged for food products that have been exempted. Such violations will not be tolerated," he said.

The minister also sought people's cooperation to tide over any such problems. In response to questions about AIADMK's opposition to GST, Mr Jayakumar said issues were discussed threadbare when late J. Jayalalithaa was alive and the concerns of the state government have been addressed.

When VAT was introduced, Jayakumar said the state governments lost huge amounts and since they had a bad experience, this time they made sure that the compensation to states be made part of the legislation. "Since it is part of the Bill, all concerns of the state have been taken care of. We will get compensation according to the losses that we incur," he said.