E maharashtra 2013 smart cities , security and surveillance - sudam gavali, deputy commissioner, department of sales tax, government of maharashtra
E-Governance ProjectE-Governance ProjectDepartment of Sales TaxDepartment of Sales Tax
Smart CitySmart City• Smart cities can be identified (and ranked) along six maindimensions-Dimensions Based on1 a smart economy Regional competitiveness2 smart mobility Transport & ICT economics3 a smart environment Natural resource4 smart people Human & Social Capital5 smart living Quality of life6 smart governanceCitizen participation in citygovernance
Why e-Governance ?Why e-Governance ?• Sales Tax Department (MSTD) is a major revenue earning Deptfor state. Revenue receipts (2012-13) around Rs. 65,000 cr.• For Department Officials:-• Difficulty ino keeping track of record of each taxpayero identifying non filers, short filers, late filerso Taking precise & fast policy decisions due to lack of authenticinformation, analytical ability, electronic dataFor Tax Payers:-o Filing of return & payment of tax procedures made dealers towait in the bank for hours.o Frequent visits to the Sales Tax Office
ApplicationsApplications1. Mahavikas application-• Core application for internal users where internal workflow isautomated• Intranet Application – Can be accessed only through LAN and WANof MSTD.• System software: IBM stack -WAS Application server and DB2 database2. Mahavat application-• Web portal application for services to taxpayers• Dedicated website www.mahavat.gov.in developed by ECIL.• Infrastructure (client & server side) set-up & management by ECIL.• Helpdesk- (022) 23760936 for users outside Mumbai – 1800229994• BOOR Project-Transaction based payment.
May 10, 2013 MSTD e- Governance 6e-Servicese-Services
May 10, 2013 MSTD e- Governance 7100% e-Registration100% e-RegistrationService level improvementService level improvementPrevious Service Level Current Service LevelDealer visits district office forphysical submission of the requestOnline application at the Dept websiteOne Site visit was compulsory beforethe TIN was issued.No site visit required. Advisory visitwithin three months of issuance ofTIN.One Month for processing andmultiple visits to the Sales taxdepartmentOne single visit to the department isrequired. TIN is allotted across thetable.
May 10, 2013 MSTD e- Governance 8100% e-filing/e-payment100% e-filing/e-paymentService level improvementService level improvementPrevious Service Level Current Service LevelReturn was to be filed at bank ordepartment’s counter. Could take almost onedayReturns are filed online with offlinevalidations. It takes less than 5 minutes.Minimum 1 month to 3 months to reach todeptReturn is available for processing to MSTDofficials on next day.Payment verification only at time ofassessmente-scrolls received on the T+1st day from theBanks giving details of the payments receivedProcessing of Returns only at time ofassessmentImmediate processing of Returns for the non-filer; short-filer & late filer processesThe returns were scanned and data entered.Data entry error was more than 11% for 1styear. Besides, there were dealer errors in thereturns.e-return template / forms is self validating,so there is no mistake in the uploading of thereturn.
May 10, 2013 MSTD e- Governance 9100% e-Refund100% e-RefundService level improvementPrevious Service Level Current Service LevelThe grant of Refund could take as muchas 3 yearsMajority of the Refunds getsanctioned within 30 daysThe cheques were prepared and sent Payand Accounts office. Later on thesecheques sent through Registered post.The time duration was at least 15 daysThe department has developed ECSutility which will transfer the moneyonline to dealer’s account within oneday.
May 10, 2013 MSTD e- Governance 10100%e-CST declarations100%e-CST declarationsService level improvementService level improvementPrevious Service Level Current Service LevelDelivery within one month from date ofapplication. Also, the dealers wererequired to get the previous counterfoilsof the forms verified from the MSTDThe forms are dispatched within 2 daysof receipt of application.Multiple visits to receive the forms Not required to visit the department.Online application for Forms.Earlier blank CST forms were issuedwhich increased the chances of misuseThe CST forms now are printed by thedepartment before issuing it to thedealer.
May 10, 2013 MSTD e- Governance 11100% e-audit Report100% e-audit Report1. Real game changer:- Introduced in 2009. Revenue growth in 200-11achieved at 28.56%2. The third party audit report furnished by the CAs3. mandatory for dealers with turnover >= Rs 60 Lakh4. Around 2 Lakh dealers covered5. accompanied with annexure of purchases & sales6. clear findings of CAs with financial & costing ratios available forcomparative analysis vis-a-vis claims made in returns7. Form size of 74 pages designed into• 74 interlinked EXCEL sheets• With arithmetic & logical offline validations• With distinct TIN, frequency check uploading validations
May 10, 2013 MSTD e- Governance 12Volume of e-transactionsVolume of e-transactions• Number of e-transactions (Category-A) effected during 2012-13Services no of e-transactions1 Dealer Registration 2659772 Payment of tax 22939963 Online filling of Returns 37755734 Online filing of Return_annexures 3471465 Online processing of refunds 249546 Issue and processing of forms 18837847 Audit Report (Form-704) 214377 Total Annual e-transactions 8805807Av monthly e-transactions 733817
May 10, 2013 MSTD e- Governance 13Other e-ServicesOther e-Services• Facility to dealers to post grievances, suggestions and give infoabout tax evasion• Bulk mail solution to send mails to dealers• Bulk sms through MSDG being implemented by C-DAC
May 10, 2013 MSTD e- Governance 14Economic Intelligence Unit (EIU)Economic Intelligence Unit (EIU)Functional set-up:1) E-704 data analysis unit2) 360 Degree Analysis unit3) Tinxys Data Analysis unit4) DW/BI and Cyber forensic unit5) Data Management and Monitoring Unit6) Commodity Analysis Unit7) Dealer Profiling Unit8) Registration Analysis UnitMay 10, 2013 14MSTD e- Governance
May 10, 2013 MSTD e- Governance 15Economic Intelligence UnitEconomic Intelligence UnitExternal Sources Central Excise & Customs Service tax, Income tax, State Excise, Registrar of Stamps,Octroi/Cess, TINXSYS, FIUInternal Sources e-registration, e-Returns, e-Audit Report, e-payments, e-Refunds Annexures, e-CST declaration applications15EIU AnalysisMay 10, 2013 MSTD e- Governance
May 10, 2013 MSTD e- Governance 16360° View360° View(Pilot Project with Ministry of Revenue)Objectives:-– Capture overall picture of dealer– Comparison of dealer on various parameters among differentdepartments– Proper tracking of transactions of dealers to widen the tax net– To reduce revenue leakage for revenue enhancement(with the support of CBEC & CBDT)May 10, 2013 16MSTD e- Governance
May 10, 2013 MSTD e- Governance 17Data Exchange SystemData Exchange System(CBEC/CBDT/MSTD)Dept 1CBEC WarehouseUpload of dataDownload of MIS ReportsDept 2Upload of dataDownload of MIS ReportsMay 10, 2013 17MSTD e- Governance
May 10, 2013 MSTD e- Governance 18DW & BI ToolsDW & BI ToolsObjectives:-• To analyze data collected from internal and external sources.• To identify circular trading cases, cases of suppression of turnover,fraudulent cases• To point out difference in disclosures to various Govt. agencies.• To provide valuable inputs to Investigation and Business Auditdivisions.May 10, 2013 18MSTD e- Governance
May 10, 2013 MSTD e- Governance 19Benefits of AutomationBenefits of Automation
May 10, 2013 MSTD e- Governance 20Benefits of Automation (1/2)Benefits of Automation (1/2)1. Quality of administration:-• Improved decision making• MIS Reports of Non filer, short filer etc. available immediately afterdue date. Better control on defaulting tax payers.• Better monitoring and performance evaluation• Increased transparency2. Reducing Revenue leakages: -• Caught 2059 Hawala operators – 37,000 beneficiaries – tax involvedRs. 1200 Cr.• e-Services has improved overall complianceMay 10, 2013 20MSTD e- Governance
May 10, 2013 MSTD e- Governance 21Benefits of Automation (2/2)Benefits of Automation (2/2)3. Quality of service to tax payers:-• Paradigm shift in approach- From inspector raj to Service orientedapproach of administration• Reduced tax payers visits to department (assessment by exception)• Faster communication with dealers through SMS, e-mail4. Reduction in cost/efforts to MSTD:-• Provision of e-services- eliminated about 3000 visits daily of SalesTax personnel5. Reduction in cost/efforts to dealers:-• Total annual e-transactions in 2012-13 are about 88 lacs. Assumingefforts saved as 1 day/e-transaction the total cost saving of dealerscomes to Rs. 880 Cr (1.42% of revenue). (Reduction in compliancecost improves tax compliance)
May 10, 2013 MSTD e- Governance 22Challenges facedChallenges faced1. Vendor Management:- Issues of coordination between 2 vendors(Mastek & ECIL)2. Requirement of additional infrastructure: -• For additional staff- requirement of additional PCs, Printers etc.• For additional modules like e-CST, DIS etc - requirement ofadditional infrastructure (Servers)• Bandwidth issue.3. Performance issues of Mahavikas application:-• Patchy application, Report server issues, Java applet etc4. Issues of data synchronization:- Because of separate databases fore-services and internal core application we could not provide statustracking system to tax payers.5. Need of capacity building:-• Huge no of STIs got promoted to Officers grade.
May 10, 2013 MSTD e- Governance 23New initiativesNew initiatives1. Re-architecture of Mahavikas application2. Online validation of PAN with CBDT database3. Dealer Information System and electronic amendments by dealers.4. Electronic Dealer Credit Ledger5. Facility of ECS through NEFT for remittances of refunds to dealers6. Issuing digital CST declarations- sms and mail alerts- with end toend SDM (facility for tracking the applications)7. Paperless office:-• e-office module of NIC• All applications to be made by taxpayers like Application forAppeal, No Dues Certificate, DDQ, amendment, cancellation, etc.to be made electronic.• Document Management System (DMS):- For uploading scanneddocuments & also digitizing old documents. (Newgen, Oracle, IBMetc)• All certificates like Regn. Certificate, declarations to be issued totaxpayers may be dematerialized.
May 10, 2013 MSTD e- Governance 25Success Factors & take away for othersSuccess Factors & take away for others1. Participatory approach:-• Involvement of all stake holders- Working Group suggestions.• Internal users suggestions.2. Publicity: - Wide publicity about introduction of e-services, due dateshas helped to increase compliance.3. Support to trade: -• Help Desks – Initially help desks were set up at each location.Online dedicated helpdesk for trade in operation.• Help is provided by MSTD officials on telephone and emails also.4. Capacity building: -• Training to internal users• Outsourcing is useful but in-house technical competence mustMay 10, 2013 25MSTD e- Governance
May 10, 2013 MSTD e- Governance 26Success Factors & take away for othersSuccess Factors & take away for others5. e-Services: -• Should be user friendly• Validated and error free electronic data helps in correct analysis• Improves compliance6.Phased/pilot approach: -• Implementation of e-filing and e-payment to vast no of dealers inphased manner proved a great success.• Improves comfort level/confidence of stakeholders.7. Business Process Re-engineering (BPR)-8. Application Change Management:-• Professional approach-Standard Change Request, FS• Documents collected after each release.9. Ensuring the viability of the project: -• Transaction based payment• Minimum guaranteed volume of each type of work to ensureoptimum returns on the investment in IT infrastructure and runningcost.
May 10, 2013 MSTD e- Governance 27Success Factors & take away for othersSuccess Factors & take away for others10. Knowledge transition to department from SI/developer11. Leadership: -• Visionary leadership• Strong initiative and drive for e-governance12. Work culture of organization: -• Readiness to change• Dedicated/alert users/core team for sustenance of project• Ownership of the project.
May 10, 2013 MSTD e- Governance 28Awards receivedAwards received EDGE AWARD for "Best IT implementation in India“ CXO AWARD 2010-The IT Chapter for "IT innovative in the Government“ CSI-NIHILENT E-GOVERNANCE Awards 2009-10 – APPRECIATIONAWARD under Department Category for e-Governance Initiative inDepartment of Sales Tax First prize in the Rajiv Gandhi Prashaskiya Gatimanata Abhiyan of the GOM(2011)May 10, 2013 28MSTD e- Governance