CAG finds ₹157.99 crore GST payment deviation in Goa

It specifically assessed Solid Waste Management in Urban Local Bodies, GST oversight by the State Tax Department, and loan management at EDC Limited.

Who it concerns: Government of Goa, including the Urban Development Department, Department of State Tax, Department of Captain of Ports, Department of Excise, Finance Department, Department of Industries, Electricity Department, and EDC Limited.

What the auditor found

• Solid Waste Management: Only 78% of collected waste was treated across 14 ULBs from 2017-18 to 2021-22; the rest was dumped without treatment.
• Solid Waste Management: Margao Municipal Council had a 5 TPD plant for processing 35 TPD of collected waste, indicating a severe capacity shortage.
• GST Oversight: CAG found deviations in 109 cases (40.37% of 270 test-checked cases) involving a mismatch/deviation of ₹157.99 crore.
• GST Oversight: Systemic deficiencies included inaction on non-filers of GSTR-3B returns and delays in initiating scrutiny.
• Excise: Short levy of excise duty, health surcharge, and license fees from hoteliers and bars was identified.
• EDC Limited: Findings included loans with defective security, irregular reduction of interest rates, and excess waivers in OTS cases.
• Recommendations: ULBs were advised to prepare SWM plans, improve user charge collection, and minimize gaps in waste treatment; GSPCB was advised to update health facility data for bio-medical waste.

Also in the document

• CAG reported that the goal of successful solid waste management remains unachieved, with significant waste being dumped at new sites due to insufficient and underutilized treatment facilities.
• CAG identified a ₹157.99 crore deviation in GST payments and return filings, citing systemic deficiencies in the Department of State Tax's oversight mechanisms.
• CAG noted that Urban Local Bodies could not finance SWM activities from their own resources due to huge arrears in user charge collection and a lack of sanctioned posts for dedicated SWM staff.