Sales tax commissioner Subodh Kumar told The Financial Express that his department had received tenders from TCS, NIIT, CMC, Mastek and six others for this purpose. TCS, which has been selected to do the evaluation study, will be paid Rs 9 lakh.

Kumar said that the STD, after receiving a report from TCS, will float tenders for the implementation of the automation programme. He added that the entire project is likely to be completed in the next one-and-a-half years.

The automation is planned to adopt a standard information technology project development methodology which will provide a controlled documented system that conforms to recognised international standard quality management practices. It will draw up information technology requirements for three years --hardware system software, application software, networking and communication links.

The automation plan will also consider the changing environment and will be based on appropriate computer systems for all operational areas, housekeeping work and building databases. It will also focus on data integrity and security.

The annual sales tax collection is likely to touch Rs 11,000 crore at the end of the current fiscal. It was Rs 7,500 crore in 1996-97 and Rs 9,000 crore in 1997-98. Over 440,597 dealers have been registered all over Maharashtra with the STD which has 10,150 officers and staff on its rolls.

The Bombay Sales Tax Act, 1959, is a revenue earner for the state. Dealers with annual tax liability above Rs 1 crore are at 0.10 per cent paying taxes to the extent of 60 per cent of the total revenue. Total receipts under this act for 1997-98 stood at Rs 5,122.81 crore while the target for the current fiscal is fixed at Rs 6,200 crore.

The receipts under the Central Sales Tax Act, 1956, were Rs1,296.95 crore and the target is Rs 1,540 crore. The receipts under the Motor Spirit Tax Act were Rs 1,498.97 crore and the target is fixed at Rs 1,600 crore.

TCS will, during the proposed evaluation study, analyse current process tools being used and potential bottlenecks, future requirements, opportunities for greater efficiency and enhancement in revenue through automation. It will make recommendations for a future system, for a smooth transition from the current environment to the future one and key products and technical alternatives.

TCS will also suggest the changes required in statutes and the various administrative procedures, provide guidelines for project management. TCS will also provide information about its general methodology for the analysis of sales tax automation system.

STD sources said that the computerisation undertaken during 1991-92 has paid off as it has proved beneficial in keeping a close watch on the revenue collected under various acts. It has also helped in fixing ofdivision-wise and sales tax office-wise recovery targets and keeping a close watch on achievement of these targets.