Hyderabad: Warangal division has topped the list of value added tax (VAT) defaulters in the state while Abids division in Hyderabad was the most tax compliant. VAT remains the major revenue earner for the government. The state earned Rs 32,492 crore from VAT against the commercial taxes department target of Rs 33,965 crore. This year, the government has raised the target to Rs 43,115 crore.
The collection of VAT has not kept pace with the target prescribed. A large number of dealers has failed to file VAT returns. The state has 1.86-lakh VAT dealer-base, of which only 1.07 lakh have filed returns. The commercial tax department had 12 divisions of which Hyderabad contributes nearly 80 per cent of VAT revenue; seven of the divisions are in the city. As per the latest data available with the department with regard to VAT returns for August, Warangal was at the bottom of the list with 56.38 per cent traders failing to file VAT returns.
This was closely followed by Nalgonda (51.84 per cent), Karimnagar (51.76 per cent) and Niza-mabad (49.45 per cent). “We will launch a special drive to realise VAT arrears. It will also focus on bogus dealers who are evading VAT by not registering their businesses. Besides, pending VAT arrears will also be recovered,” said Mr V. Anil Kumar, commissioner of commercial taxes. Abids division, with 10,562 registered dealers, recorded highest percentage of returns at 72.4. Adilabad division at 70.1 per cent and Begumpet at 65.06 per cent also witnessed good tax compliance.
