Gujarat's Finance Minister Vaju Vala today informed the state assembly that over 424 companies in the state owe over Rs 11,671 crore as Value Added Tax (VAT) dues to the government.

Replying to a question from GPCC President Arjun Modhvadiya, Vala said that companies like GAIL, ONGC, RIL, Crompton Greaves owe the state government VAT dues of over Rs one crore in the last three years (2008-2011).

"The government realised Rs 2,211.55 crore VAT from the companies in Vadodara in 2011, while Rs 605.53 crore was due," Vala said on floor of the house, in reply to the question of Modhvadiya.

"Of the Rs 605.33 crore VAT dues, two firms GAIL (Rs 106.31 cr) and ONGC (Rs 423.20 cr) in Vadodara alone owe the government Rs 527 crore," Vala said, in reply to question of Modhvadiya.

"Tax dues to the tune of Rs 78 crore are due in 1,073 cases," he said.

"The realisation of VAT could not be done from GAIL and ONGC, owing to litigations," Vala said.

According to an annexure, one of the units of Reliance Industries Limited (RIL) in Gujarat owed the government Rs 5.09 crore as VAT, Crompton Greaves was yet to pay Rs 1.52 crore tax, while Essar Oil owes around Rs 8,289.72 crore as VAT in last three years. The Supreme Court has directed Essar to pay the dues to the state government, however, the compnay has gone for appeal against the verdict.

In Ahmedabad-103-firms owe VAT above rupees one crore to the Gujarat government, Valsad (47), Kutch (30), Surendranagar (12), Jamnagar (8) including VAT dues of Rs 8, 289.72 crore of Essar Oil, post a litigation.

In majority of cases, the realisation of VAT could not be done due to pending litigations in the court.

"In a few cases, the companies had moved BIFR and AIFR, pending which the tax to the tune of Rs 9.36 crore could not be realised, while Rs 6.27 crore was pending with a company that had gone into liquidation, and taxes from firms, whose whereabouts are not known is nearly Rs 4.56 crore, involving 63 companies," Vala informed the state assembly. PTI VKB PD NP