After a month of ‘No checking points’ and ‘No vigilance squad’ on road, the strictness by state governments is being tightened. After numerous reports and complaints of dispatches that are ‘unreported in books’ or ‘undervalued’ the State Governments are taking strict measures to stop the practice. After various reports about ‘unreported and undervalued’ plywood and boards being dispatched from Haryana, Punjab and Uttar Pradesh, the checking squads have begun their strict checking on roads since 5th August.
According to latest inputs received from Haryana, the teams from ‘Excise & Taxation’ have started checking documents of each truck that is being dispatched from Yamuna Nagar. As per sources, a dozen of Lorries have been held by the ‘checking squad’ on charges of ‘undervalue’ on the exit highways of Yamunanagar in Haryana. There are reports of more ‘checking squads’ are being deployed who will check and siege the material which will be caught for not carrying genuine required documents and adequate valuation. There is lot of panic among those manufacturers who were trying to take advantage of ‘checking free roads’.
“The checking squad for genuine compliance and under value material is expected to be tightened in coming days in Punjab and Uttar Pradesh as well,” sources say. According to AIPMA president Mr Devender Chawla, “until E-way bill is implemented, the need of checking squad is a necessity to bring level playing field for each manufacturer and trader.” He added that according to information, Punjab and Uttar Pradesh are also taking measures to stop such dispatches. The plywood manufacturing cluster in Perambavoor, Kerala, are under strict vigilance since last month and state tax authorities have already applied heavy penalties to factories that have not been according to GST compliance.
Even after 35 days of GST rill out the plywood industry and trade is struggling to come to terms of high GST slab of 28%. Since announcement of 28 % slab on plywood & other wood panels, the mood of plywood industry and trade is subdued and protests are continued at different places with appeal to reduce the GST from 28% to lower slab. After 28% slab, wood panels have become costlier by 8-10 percent varying from brand to brand.