oa Electronic Limited issued a letter to Herald regarding the article published on 17th August ’18 where Herald had revealed that GEL’s Citizen Facilitation Centers were charging GST on government fees. In the letter, GEL stated that it is completely false that GST is imposed on Government fees and that GST is charged only on CSC Service fee and not on any government fee.
The article had stated that GEL is forced to go to GEL since the government departments do not accept the applications. GEL responded by stating that citizens are given an option to avail the service free of cost online or avail the same service at the CSC.
They further stated that the government doesn’t charge a fee for residence certificate and that the entire amount charged for the certificate at the CFC is towards the CDC fee and hence 18% GST is levied on the entire amount.
While talking to Herald, Revati Mujumbdar, CEO of GEL, stated that citizens who are using the service are very happy with it which is indicated by the feedback they collect at the center.
Government Notification on e-service misleading
On the last 3 pages of the 200 page Series I Gazette issued on 26th April 2018, the government published a notification indicating the details of services provided through CSC with the prescribed rate. The government stated in the notification that “Government of Goa has approved the proposal of setting up the Citizen Services Centre (CSC) to deliver the various Citizen Centric Services of various Government Departments to the Citizens, CSC’s will be the front end delivery channel for all Government services.”
It further stated that “All the people availing services delivered by the office of Collector of North and South and subordinate Offices and Directorate of Settlement and Land Records will be delivered exclusively through the above mentioned Citizen Services Centre (CSC). The applicant/people availing this service from Salcete Taluka should, therefore, avail this service through Citizen Services Centre (CSC) only.”
The notification mentions two sets of services along with their prescribed rates, one for services like issue of Form 1 & 14, survey plans etc, and another for e-services what include Residence, Domicile, Caste, Sound, Divergence and Mediclaim certificates costing Rs 50 each.
Interestingly, nowhere in the notification does it state that the CFC will be operated by a third party and that GST will be applicable. Herald spoke to Dominic Noronha of United Goans foundation who had submitted a memorandum to the Government requesting them to revert the increase in revenue fees. Noronha informed that as an ordinary citizen who read the notification, nowhere has it stated that the service is a private or third-party service.
“The services and rates mentioned in the notification led us to believe that these are government rates and not rates that would be charged and collected by a third party company for itself ”. He stated that the GST is a burden on the poor citizens since it is equivalent to the price of the ticket to travel for these services. “GEL should have only provided the portal but the service should have been run by the government just like the WRD website which has similar service for registration of wells”. He stated that the notification is misleading. Herald contacted officials in the revenue department who agreed that the notification does not indicate that the fees are not government fees but are instead fees charged by a third party. However, they did not want to comment or give any explanation clarification.
Noronha also questioned the need for GEL to charge a fee at all. “They are a government company so the government can give them grants. They don’t pay any trade licence fee to the municipality for running the service, they pay their staff less than half the salary of an equivalent government entry clerk and the government has given them free premises along with all the interior furniture. I don’t think it’s a fair deal to the citizen exchequer”, he said
Herald had previously reported that the fees charged by the CSC are illegal since they are government fees and therefore the GST on such fees is 0%. Neither the Revenue Department nor GEL has submitted any gazetted notification which indicates that the fees levied at CSC are not official government fees.
Can GEL use Government of Goa Seal?
A copy of Form 1 & 14 issued by the GEL’s Citizen Facilitation Center had a round stamp with the words “Citizens Felicitation Center – Government of Goa” on it. There is no “Certified Copy” seal, outward registration number, or price indicated on the Form 1 & 14. This is in stark contrast to the Form 1& 14 certificate issued at other Survey departments where the seal of the Land and Survey Department, the outward number and price is mentioned along with the date. The issue was brought to Herald’s notice by Santan Alfonso of Cuncolim Forum who stated that GEL cannot use the Government of Goa stamp.
Alfonso informed that Courts do not accept Form 1 & 14 forms which were issued from Mahiti Ghar since they need the official seal from the Land and Survey department along with the date of issue and price. “Since CFC has been declared as the only place where people of Salcete can issue the form, the issue which arises is will the Courts accept such a document?”, questioned Alfonso.
The other issue is regarding the legality of GEL using the Government of Goa seal. As per government rules of business, Government of Goa implies the department that comes directly under the Government such as the Revenue Department. Another institution or individual using the “Government of Goa” text in its seal attracts Section 3 of the Emblems and Names (Prevention of Improper Use) Act 1950 which prohibits anyone from using such words without permission from the Government.
The Revenue Department has not issued any permission to GEL to use the “Government of Goa” seal on the certificates. Herald asked Revati Mujumdar, CEO of GEL, whether GEL can use a Government of Goa who stated that “GEL is a government organisation. It is a State PSU. If we are not the government who is the government. We are registered under the Companies Act as a Government of Goa undertaking.”
Government E-Governance services taking from poor and giving to the rich
The model of the E-Governance services is quite peculiar. A rich educated citizen who owns a laptop and an internet connection can apply for a residence certificate via the e-portal free of charge. However, a poor citizen who may not have a laptop or access to the internet or maybe uneducated has to travel to the District Collectorate, spend at least an hour pay Rs 50 along with 18% GST for the residence certificate. In contrast, the popular theatre chain in Goa charges a convenience fee on every ticket which is booked online whereas no such fee is charged with the ticket is purchased at the counter.
Any revenue model adopted by the government should have charged the rich to subsidise the poor. The service that gives a citizen the luxury of applying for the certificate from the comfort of their homes should have been charged a premium whereas the service requiring a citizen to take a leave from their job and spending half a day at the Collectorate should have been free. However, the model which has been implemented is just the opposite. Citizens who visit CFC are charged for the e-service maintained by GEL which is offered to online applicants free of cost.
Herald brought this issue to the attention of the Revenue officials however since it was a government policy, the bureaucrats did want to comment over its merits.
Questions people raised
1. Why service is free for online user but charged for poor and uneducated who have no choice but to visit the CFC.
2. Where does it state in government notification e-service fees will be appropriated by third party e-service provider and that GST will be charged on e-services
3. When Government has notified the rates for revenue documents such as Form 1& 14 in March 2018, how can GST be charged on the government prescribed rates by GEL
4. How was GEL allowed to use a seal with text “Government of Goa” in it without permission from the government? Isnt it illegal and will courts accept the documents?
5. Is the purpose behind charging high fees and GST a ploy for a bankrupt govt to earn revenue
6. Why was the service started in Salcete and not in any other Taluka? Doesn’t the government think that people in Salcete are rich enough to pay the fees
