Chennai, June 4 -- Micro, small and medium enterprise (MSME) representatives in Coimbatore have urged the Tamil Nadu Commercial Taxes Department not to invoke Section 74 of the State Goods and Services Tax (SGST) Act for routine compliance lapses.

They stated that the provision should be reserved for cases involving fraud or deliberate tax evasion.

At an SGST interaction meeting held on Wednesday, the Federation of Coimbatore Industrial Associations (FOCIA) submitted a petition to Sugam Thakarey, Joint Commissioner of Commercial Taxes, highlighting concerns over the increasing issuance of penalty notices to MSMEs, reported the Times Of India.

FOCIA coordinators J James, S Surulivel and A Sivasanmugakumar said several MSME taxpayers hav...