Punjab to restructure finance department

To bring in greater efficiencies in the functioning of the finance department, the Cabinet today gave its in-principle nod to reclassify and restructure the department in the form of directorates, while also approving bifurcation of the excise and taxation commissionerates.

This decision was taken at the Cabinet meeting chaired by Chief Minister Amarinder Singh here today, as per official release.

While okaying the creation of six directorates from the finance department, the state Cabinet underlined the need to restructure the department in view of the current and future needs of the state government.

The department, it agreed, needed well-educated and trained manpower in the fields of economics, finance, accounts and statistics, along domain knowledge and certain level of experience in handling the financial operations efficaciously.

The six new directorates proposed to be created are directorate of expenditure, directorate of budget and treasury and accounts, directorate of human resources management including coordination and the account and establishment wing of all directorates, directorate of performance review and audit, directorate of banking and economic intelligence and directorate of lotteries and small savings.

The Cabinet also gave its nod for creation of 17 new posts in the Excise and Taxation Department, besides bifurcation of the department into Punjab Excise and Punjab Taxation Commissionerates to ensure effective monitoring of the two most important revenue generating sources of the state.

It may be noted that the excise and taxation, which is the state's largest revenue generating department, collected revenue of Rs 23,784 crores during 2016-17.

The revenue collection for the year 2014-15 was Rs 21,418 crore, and Rs 22,430 crore during the year 2015-16.

Before the implementation of GST, nearly 2.50 lakh dealers were registered in the state. The department of excise and taxation was administering taxes only related to Goods like VAT and CST.

With the implementation of the GST from July 2017, the work of the department has increased manifold as tax on services has also come under the purview of the department, which will lead to a hefty increase in the number of dealers, thereby resulting in enhanced quantum of work.

Further, in a bid to boost professionalism and enhance capabilities amongst the Section Officers of SAS Cadre, the cabinet also gave concurrence to amend the Punjab State Finance & Accounts (Group 'A') Service Rules, 2012, thereby inserting a condition of departmental examination in the rules regarding their recruitment.

The finance department (Treasuries & Accounts) had made provisions to appoint Section Officers directly through Punjab Public Service Commission through Punjab State Finance and Accounts (Group-A) Service Rules, 2012.

The amendment in rules was necessitated to improve the working of these Section Officers, which would enable them to get thorough knowledge of departmental/service rules.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)