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Procurement agencies told to pay VAT on sale of paddy byproducts

2014-12-11 07:42:23| Agriculture - Topix.net

The state excise department has served notices to the district drawing and disbursing officers of all five grain procurement agencies in Punjab and the Food Corporation of India to pay value-added tax , since 2011-12, on the amount generated by the sale of byproducts of paddy by rice shelling mill owners. The liability of each state procurement agency - Punsup , Pungrain , Punjab State Warehousing Cor poration , Punjab Markfed and Punjab Agro Industries Corporation Limited - and the FCI, on this count could run into crores of rupees, as estimates suggest that every kharif season, rice millers in the state sell byproducts of paddy - rice bran, rice husk and small broken rice - valued at around ` 800 crore in the open market.

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