In pursuance to the implementation of the Ease of Doing Business, the Government of Haryana, through a Notification dated 13^th June 2019, has introduced the “Transparent Assessment Policy” (“Policy”) for cess assessment of the Establishments under the Building and Other Construction Workers Welfare Cess Act 1996 (“Act”).

Background:

To ensure a proper assessment of Cess of all establishments, with the use of wide scale technology and innovation, this new Policy has been adopted to bring out transparency and accountability.

Objectives:

• To simplify the process of assessment of Cess.
• To regulate the levy, collection and assessment of cess in transparent and accountable manner.
• To eliminate the arbitrariness and adhocism.
• To maintain a centralized database.

Key Highlights:

• Cess Assessment of Registered Establishment

• Employers will have to submit information online in Form No. 1 under the Building & Other Construction Workers Welfare Cess Rules, 1998 within 30 days of the completion of construction work along with requisite documents and balance sheet verified by the Chartered Accountant.
• The employer who will furnish information through the online portal will get to know the amount of cess to be paid with the cess calculator system.
• The Assessing Officer will calculate the cost of construction on the basis of the balance sheet duly verified by the Chartered Accountant or on the basis of notified rates for the estimated cost of construction fixed, whichever is higher, and will accordingly assess the amount of cess payable by the employer.
• For the calculation of the cess amount, if duration of construction work exceeds one year, the balance sheet of every such year shall be provided by the employer.
• Assessment orders will be generated on-line based on the information filled in by the employer and scrutinized by the Assessing Officers. The Assessing Officers will digitally sign the Assessment orders and also specify the date by which the cess shall be paid along with amount of cess to be paid by the employer.
• The cess amount will be paid by the employer online to the Haryana Building and Other Construction Workers Welfare Board through Net Banking, E-Payment, Credit or Debit Card.
• If the employer does not pay cess on the given date or pays less cess, the sums due because of unpaid cess will be recovered as an arrear of land revenue.
• If an employer is aggrieved by the cess amount, he can file an appeal to the Appellate Authority within 3 months of receiving the assessment order with the following documents: –

1. the order appealed against
2. a certificate from the cess collector to the effect that the amount of cess or penalty or both relating to such appeal has been deposited
3. a fee equivalent to one per cent, of the amount in dispute or penalty or both under such appeal
4. a statement of points in dispute
5. documentary evidence relied upon

• Assessment of Un-Registered Establishments

• If the employer does not furnish the requisite information as required for conducting the assessment, the Assessing Officer will create the Basic Information Performa (“BIP”) of the establishment on the departmental portal and will fill the available information in the BIP.  The Assessing Officer will then issue a 15 days’ notice to the employer for online application for the registration and also for furnishing the information in Form No.1 for cess assessment.
• Once the employer applies online by filling up all the details and submita all the documents, cess assessment will be done as per the provisions for a registered establishment (mentioned above).
• If the employer fails to apply online for assessment or does not furnish the requisite information, the assessing officer will proceed to make the assessment based on available records and other information.
• The cess amount will be paid by the employer online in the name of the Secretary, Haryana Building and Other Construction Workers Welfare Board through Net Banking, E-Payment, Credit or Debit Card.
• If the employer does not pay cess on the given date or pays less cess, the sums due because of unpaid cess will be recovered as an arrear of land revenue.

• If an employer is aggrieved by the cess amount, he can file an appeal to the Appellate Authority within 3 months of receiving the assessment order with the following documents: –

1. the order appealed against
2. a certificate from the cess collector to the effect that the amount of cess or penalty or both relating to such appeal has been deposited
3. a fee equivalent to one per cent, of the amount in dispute or penalty or both under such appeal
4. a statement of points in dispute
5. documentary evidence relied upon

Source: Government of Haryana

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