Tag: VAT

Maharashtra Legislative Council Approves VAT Amendment Bill for Fuel Suppliers to Boat Traders

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.

Punjab & Haryana HC Quashes F.I.R. Against The Person Accused Of  Issuing Bogus Invoices And Misusing The VAT Registration Number

The Punjab & Haryana High Court quashed the First Information Report (FIR) against the person accused of  issuing bogus invoices and misusing the Value Added Tax (VAT) registration number.

Justice Manjari Nehru Kaul stated that Section 57 of the VAT Act provides for imposition of penalty for issuance of false invoice. Section 58 of the VAT Act provides for imposition of penalty for using a false registration number. The provisions leaves no manner of doubt that the allegations levelled in the FIR in question are squarely covered and fall under the exclusive purview of the VAT Act.

BACKGROUND

The FIR was lodged against the petitioner. The FIR contained the charges related to evading VAT evasion, however, since the Punjab VAT Act, 2005.

The petitioner contended that VAT is a complete code in itself and operates in exclusion to the general law including the IPC, no FIR could have been registered against the petitioner. However, the State has tried to give a criminal complexion to the alleged Tax evasion, to bring the same within the ambit of the IPC.

The respondent department stated that the petitioner allegedly issuing bogus invoices and misused the VAT registration (TIN) number assigned to him and thus committed forgery and fraud. The petitioner had made bogus purchases as a result of which the State exchequer had incurred losses to the tune of `2,44,73,487/-. 

JUDGEMENT

The court ruled that the VAT Act is a complete Code in itself and there is no provision provided in the Act for the registration of an FIR. The Act only provides for imposition of penalty in case there is any contravention of its provisions. Since the Act is a special law, principle of generalia specialibus non derogant would apply, meaning thereby, it would operate in exclusion to the general law i.e. the IPC.

The court said the provisions of the VAT Act are sufficient and equipped to deal with the matter where an attempt is made to evade the Tax and the registration of FIR in such a matter is totally an abuse of the process of law.

“This Court has no hesitation to hold that continuation of criminal proceedings arising out of the FIR would be nothing but an abuse of process of the process of law. Accordingly, the instant petition is allowed and the FIR in question along with all consequential proceedings arising therefrom is quashed,” the court stated.

Case Title: Ashwani Kumar Versus State Of Punjab

Citation: CRM-M-23662-2016

Click Here To Read Judgment

Rajasthan Government Extends Due Dates for ITC Mismatch Demands Verification and VAT Amnesty Scheme

Vide 1st Notification Dated 30th September 2021, Rajasthan Government has extended due date for ITC Mismatch Demands Verification.

Notification can be accessed by

[embeddoc url=”http://rajtax.gov.in/vatweb/download/cir_noti/NOCC/Notification659.pdf”%5D

Vide 2nd Notification Dated 30th September 2021, Rajasthan Government has extended due date for VAT Amnesty Scheme.

Notification can be accessed by

[embeddoc url=”http://rajtax.gov.in/vatweb//download/cir_noti/NOTI/10179.pdf”%5D

Bhiwadi Manufacturers Association Writes Letter to Rajasthan Chief Minister for Extension of 3rd Phase of Rajasthan Amnesty Scheme 2021

Bhiwadi Manufacturers Association 

24th September, 2021

Shri Ashok Gehlot Ji,

Hon’ble Chief Minister

Government of Rajasthan

Jaipur.

Subject:- Date extension – 3rd phase of Amnesty Scheme 2021.

Respected Sir,

First of all we would like to express our sincere thanks & gratitude for announcing, the highly motivating and one of its kind of liberal Amnesty Scheme – 2021. In past we had never seen such a liberal, motivating and win-win Amnesty Scheme for every one. This will not only reduce the red entries in demand register but also help the dealers, manufactures and all stake holders in the business trade, which has never happened before.

We also are advising our friends, members and all concerns to take advantage of this scheme immediately as it is just like “Mela of the Kumb which will never come again. It is the right time to wash our sins by dealing the long old demands by availing the benefits of this scheme and to live with dignity in the society and to make the future of their children bright”.

It is really surprising that the affected businessmen having demand of 25-30 years old are coming forward to take advantage of the scheme.

But Sir, you will empathise with the business community also regarding “Time limit”. There are thousands of cases of mismatch of ITC demand or declaration forms or other related matters. Today all these persons want to clear their demand in their own records and in the records of Govt.

Sir, you will also appreciate that Bhiwadi being on the boarder of State, therefore, the major sales are interstate, hence the number of cases as well as quantum of demand of declaration are highest in the area of the state as compared to other zones.

As now the people are concerned to clear their demand, but being such a massive work and even adversely affected by COVID-19 virus, it needs lot of time to square up the pending issues.

You will appreciate that it is the first time when the officers of the department & their staff, consultants , dealers and all associations have joined their hands and moving towards common direction with the aim to bring the red entries almost near to Zero. It is quite evident from the results that peoples are daily applying for willingness which had not applied so far.

Seeing quantum of work you will appreciate and agree with us that time limit for 3rd phase i.e. 30th September, 2021, expiring after a week, is too short.

As the persons are coming forward and showing keen interest to settle the issues it is requested that time extension i.e. till 31′ December, 2021 may kindly be approved. It will not only for the benefit of the business community but it also it will be good for the department to settle the long pending issues may of 25-30 years old.

Once again it is humbly requested to approve the time extension upto 31st December, 2021 for 3rd phase of Amnesty Scheme – 2021.

Submitted for kind consideration please.

With Kind Regards

B.M. Mittal

President

 

Copy to:-

  1. Shri Akhil Arora Ji, IAS, Principal Secretary (Finance), Finance Department, Govt. of Rajasthan, Secretarial, Jaipur.

  2. Shri T. Ravikanth Ji, IAS, Secretary Finance (Revenue), Finance Department, Govt. of Rajasthan, Secretarial, Jaipur.

  3. Shri Ravi Jain Ji, IAS, Commissioner, Commercial Taxes Department, Kar Bhawan, Bhawani Singh Road, Jaipur- 302005

Rajasthan Government Launches Amnesty Scheme 2021 For Various Acts

Rajasthan State’s budget is announced by Hon’ble Chief Minister Shri Ashok Gehlot today (i.e. 24th Feb, 2021).

In today’s budget, the government has announced many initiatives which includes Amnesty Scheme, 2021 for outstanding demands or disputes under various acts prescribed in the said scheme.

* Short title and operating period: (1.) This scheme may be called the Amnesty Scheme-2021.

(2.) The scheme shall come into force with immediate effect and shall remain in force upto 30.09.2021.

* Application: The scheme shall be applicable to all dealers or persons having outstanding demand or dispute under any Act in respect of period upto 30.06.2017, except outstanding demand or dispute in respect of goods included in the Entry 54 of the State List of the Seventh Schedule to the Constitution.

Download PDF to read all notifications related to Amnesty Scheme, 2021: Click Here to Download PDF