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Transport Minister & GoaMiles have a lot of explaining to do

Skeletons are falling out of the closet of GoaMiles. It has now come to light that taxi aggregator was allowed to carry out business without paying the necessary GST to the governments. More surprising is that despite being aware of this discrepancy, ministers in the government have given false and misleading information to the public that dues are either collected or paid.

Lest we forget, Manohar Babu Ajgaonkar, the then tourism minister, told the House in 2021 that the aggregator has paid GST to the tune of Rs 2.5 crore. Earlier this year, the current Tourism Minister Rohan Khaunte said in the Legislative Assembly that Rs 3.34 crore had been collected as GST up to June 2022. However, the GSTIN status of GoaMiles shows “cancelled”, and the auditor’s report for 2019-20 indicates that GST liability has been unpaid for the financial year 2018 till March 2020. GoaMiles began operations on 7th August 2018.

Utkarsh Dabhade, the Managing Director and CEO of GoaMiles, does not deny that payments are outstanding. However, he maintains that they did not charge GST to their customers. Also, he blames non-payment on the Covid-19 scenario prevalent in 2020 and 2021. Ironically, Nikhil Dessai, Managing Director GTDC, when asked about the misleading data presented in the Legislative Assembly, states that GoaMiles provided the information. And, the GST commissioner continues to remain silent.

This narrative has one common thread -- that GoaMiles has not paid GST. But to what extent? That’s the question. It baffles our minds how ministers are parroting any piece of statistic without verifying its authenticity. Is the system so devious and manipulative? Or are those holding the checks failing the State?

Cut into the present, and both Mauvin Godinho and Rohan Khaunte admit that GST is unpaid, and they assure that the process is on for recovery. This is a stupid joke played on the treasury by the government’s transport minister, a minister who represents Goa on the GST council. This is horrible because, despite this glaring illegality, the transport minister is allowing GoaMiles a counter at the Dabolim airport while showing no concern about recovering taxes rightfully due to the State. The misleading information furnished only goes to show that there is active collaboration. In reality, the aggregator should have been fined heavily.

GoaMiles is an initiative of the Goa Tourism Development Corporation operated by a local company named Frotamiles Private Limited. According to the agreement, GoaMiles are liable to pay GTDC Rs 20 lakhs per annum or five per cent of total gross revenue generated, whichever is higher, as part of the revenue-sharing pact. That’s the business side; it doesn’t leave any scope for a tax holiday. The GoaMiles MD’s excuse on Covid is entirely unacceptable because no businesses were given concessions on GST. Every registered business had to pay what is rightfully the State’s and the Centre’s. There are no two ways about this.

Officials making a statement that the aggregator “has to pay” are just not acceptable. The point is, “why did he not pay” or “why was he allowed the tax holiday”.

It is only due to such manipulation that the taxi lobby does not trust the system, which is why the taxis are refusing to toe the line that the transport minister is directing.

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Need to see the practical side of rented bikes

Published Oct 21, 2022, 12:42 AM IST
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The drive against private vehicles being used for commercial purposes is likely to be launched soon, as per statements made on Wednesday. The government has issued a stern warning to owners of private vehicles against renting out personal bikes and cars and has threatened to levy fines against offenders.While there is a move to streamline the tourist transportation service in the State, all such illegalities must stop. It is a positive sign that these irritants in the system…

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