In a strange statement, the Madhya Pradesh government has maintained that labour tax levied at the rate of 1 per cent on government contract works from agencies would stay and has said an order to suspend the tax and refunding of recovered tax reportedly issued by state General Administration Department (GAD) was fake and forged. | |
| "All the departments has received an order, dated September 26, 2005 (a copy of which is available with BS), for suspension of the recovery of 1 per cent labour tax and for refund of the amount realised earlier. The order is totally forged and has not been issued by the GAD. The GAD has sent a letter to all the departments, divisional commissioners and district collectors asking them to take no action on the fake order and to appraise the subordinate offices of this fact," a government statement, issued yesterday, said. |
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| The GAD has issued an order in this regard on August 30, 2006. However it was not established. Various departments who levy tax from agencies executing work orders were in dilemma following the order issued in September last year. |
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| The GAD department officials were not available for comment as to how the order circulated to all the departments and what happened to the loss incurred during the suspension period of almost one year. |
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