GST covers bricks, sand, stone chips; no extra levy allowed, asserts CNCCI

•    Urges state govt to dismantle unauthorized check gates 
•    Public urged to report illegal cess, check gate collections 
•    To file complaints against officials, unions over extortion

KOHIMA, SEPTEMBER 16 (MExN): The Confederation of Nagaland Chamber of Commerce and Industry (CNCCI) on Tuesday urged all concerned authorities, including government departments, agencies, and Urban Local Bodies (ULBs), to refrain from imposing unauthorized levies on construction materials, stating that such actions are in violation of the Goods and Services Tax (GST) framework.

In a press statement, CNCCI clarified that construction materials such as bricks, sand, and stone chips are already covered under the GST regime, with the applicable Harmonized System of Nomenclature (HSN) codes and rates being: River/Natural Sand – HSN Code 2505, GST Rate 5%; Stone Chips – HSN Code 2517, GST Rate 5%; Red/Building Bricks – HSN Code 6901, GST Rate 12%.
It said that any additional levy, cess, or taxation imposed on these items outside the GST framework amounts to contravention of the GST Act.

Citing Government Order No. CON-1/G41/2011, dated May 19, 2022, CNCCI reminded that all forms of unauthorized money collection at check gates and other locations within the state stand banned. The order further directed that Deputy Commissioners in every district constitute Inspection Teams empowered to conduct surprise checks to ensure no unauthorized check gates are functional.
According to the order, if such check gates are found, those manning them will be prosecuted under Sections 188 and 384 of the Indian Penal Code (IPC) relating to extortion, while disciplinary action would also be initiated against government servants involved.

The Confederation called upon all district administrations to dismantle and remove unauthorized check gates erected by any department, ULB, or union/association as per the state government directive. “Failure to comply will compel the CNCCI to lodge complaints against the District Administration and take legal recourse as per the provisions of the Government Order,” it warned.

The government order also directed the Police Headquarters (PHQ) to set up a 24x7 control room, equipped with a dedicated mobile number with WhatsApp facility and an email ID, where the public can report incidents of illegal money collection without disclosing their identity. CNCCI urged PHQ to widely circulate these contact details through media, including social media, to ensure accessibility for the public.

The Confederation further directed all its district chambers to remain vigilant and to lodge complaints under IPC Sections 188 and 384 whenever necessary, to safeguard consumers and the business community from extortion, illegal taxation, and unauthorized collection.

“CNCCI makes it clear that it will not hesitate to file complaints against government employees, departments, unions/associations, and individuals indulging in extortion and unlawful collection, as per the provisions of the Government Order,” the statement added.



Support The Morung Express.
Your Contributions Matter
Click Here