HYDERABAD: The beginning of academic year ushers in a season of bustling activity for stationery, cloth merchants along with other traders who makes it possible for the child to start the new academic year afresh.
Consequently, there is a huge rise in sales and traders enjoy mindboggling profits. However, this is not adding to the state government’s exchequer in the form of taxes collected by the commercial taxes department.
This being the case, the government has decided to hold school managements responsible for non-payment of taxes on the goods sold on their premises.
With schools now becoming one-stop shop for buying books, shoes, bags and other related items, it was found that traders who put up stalls on the school premises are refraining from paying taxes on their merchandise sold at schools.
While their TIN is registered at a particular location and the sale of goods is made at umpteen locations, the traders are evading taxes collected by the government, deputy commercial taxes officer (Enforcement) P Vishwa Kiran said.
To check this, the department has made it mandatory for schools to submit the details of traders, their TINs, description of goods, value and details of taxes paid by trader, if any.
Special officers have been pressed into action in seven circles of Hyderabad district and schools are instructed to submit the details of traders by September.