Mumbai: VAT Amendment Bill 2024 Approved
Oil companies supplying fuel to traders operating boats on the high seas will now fall under the ambit of Value Added Tax (VAT). This significant update was part of the VAT Amendment Bill, 2024, which received approval from the Legislative Council on Thursday.
The amendments introduce a clearer definition of retail sales within the law, aimed at curbing tax evasion. Notably, Clause 2(24)(5) of the Act will now permit taxation on sales made by institutions or clubs to their members. The primary focus of the amended bill is to enhance the state’s revenue collection efforts.
Under the current Maharashtra VAT Act of 2002, the state’s responsibility for tax collection was contingent on specific conditions. However, with the proposed amendments, the state will be positioned to collect taxes more efficiently. The introduction of the first charge without conditions is expected to ensure a faster tax collection process.
Deputy Chief Minister Ajit Pawar addressed questions in the Legislative Council regarding efforts to improve GST collection systems. He affirmed that the government is collaborating with the GST Council to provide relief for farmers by reducing GST on essential agricultural products, including fertilizers, seeds, and pesticides.
Furthermore, Ajit Pawar reaffirmed the government’s commitment to offering various subsidies and relief schemes for farmers. He emphasized the importance of implementing GST relief measures on essential agricultural goods in support of the farming community.
