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Gujarat VAT & CST

This category contains 49 posts

Govt may not be able to roll out GST before 2014 polls

Govt may not be able to roll out GST before 2014 polls.

Conclusions of the First OECD Global Forum on VAT

12/11/2012 – First OECD Global Forum on VAT confirms the need for an international standard on the VAT-treatment of international trade Countries around the world need to agree urgently on a global framework for the application of Value Added Taxes (VAT; also called Goods and Services Taxes, GST) to international trade, particularly in services and [...]

Double whammy for franchises

There are conflicting rules on whether a franchise is subject is to service tax, VAT, or both. The negative list has not helped either. Franchising is a prevalent business model whereby the brand owner (or franchisor) provides representational rights to the buyer (or franchisee) for a consideration. This consideration is usually bifurcated into a one-time [...]

Tackling double taxation of software

Budget 2012-13 possibly provides an opportunity to resolve this longstanding problem through the proposed taxation of services. The indirect taxation of information technology software has been a longstanding matter of debate and dispute. In particular, the challenge of double taxation has been endemic. This article highlights the recent developments in this regard which could equally [...]

Gujarat VAT Clarification: Provisional Refund of ITC on Closing Stock

Rule 37(5) read with Rule 15(6) of the Gujarat VAT Rules provide for provisional refund of upto 90% of the unadjusted `input tax credit’ (ITC) where the ITC (other than ITC on capital goods) admissible in the relevant period remains unadjusted against the output tax and if such unadjusted ITC is claimed as a refund [...]

Gujarat State Budget 2012 Proposed changes in VAT rates

The Gujarat Finance Minister placed the Budget for 2012-13 before the State Assembly on 24-Feb-2012. The Budget proposals included the following changes in VAT Rates:   Particulars Existing rates(%) Incl. Add. Tax Proposed rates(%) Incl. Add. Tax Hinges-butt, tee, lock handle, furniture handle, furniture knob, drawer channel, furniture hinges, rivets, staples, panel pin, stud, chains [...]

Sushil Kumar Modi | We will have to wait until April 2013 for GST

Sushil Kumar Modi | We will have to wait until April 2013 for GST

New modus operandi by traders to evade VAT duty

The Gujarat commercial tax officials have unveiled a new modus operandi to evade tax which the department suspects is practiced by many agro-commodity traders in the state. The officials have found that many traders, with help of farmers and bogus papers, evade VAT duty on agro commodities like groundnut and others which are used for [...]

Gujarat VAT & CST Amendments w.e.f. 1st April 2011

[By Mr. Bharat V. Shah (Director), VNCA] Consequent to Gujarat Budget 2011 proposals the following is the gist of important amendments to the VAT & CST Acts: W.E.F. 1-4-2011, the rate of VAT on Sales of Tobacco of all types and Tobacco products such as Bidi, Cigarettes, Gutkha, Pan masala, snuff containing tobacco, etc. will [...]

Bar Associations oppose Online Gujarat VAT Returns

Members of 15 sales tax bar associations in the state have decided to protest against the Gujarat commercial tax department. The 4,000 bar members have been at loggerheads with the department over problems faced in filing Value added tax (Vat) returns. In a meeting of Gujarat Sales Tax Bar Association (GSTBA) on Friday, members designed [...]