Maharashtra Value Added Tax Act (1)

8/19/2019 Maharashtra Value Added Tax Act (1)

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MAHARASHTRA VALUE ADDED TAX

MASTERS OF COMMERCE

ADVANCE ACCOUNTANCY

PART – II

(2015 - 2016)

Sub!""#$

I% P&'"!& Fu!#%" * "+# R#,u!'##%"

F*' "+# A.&'$ * D#/'## * M&"#' * C*#'# – A*u%"&%

3IRAN RAMESH 4AHMARE

ROLL NO75

UNDER THE UIDANCE OF PROF MS ANURADHA PARMAR

UNIVERSITY OF MUMAI

SHETH T8EDUCATIONS SOCIETY9S

SHETH N3TTCOLLEE OF COMMERCE AND

SHETH 8TT COLLEE OF ARTS

3HAR3AR ALI: THANE (4EST)- ;00601

ACADEMIC YEAR 2015-2016


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DECLERATION

I MR. 3IRAN RAMESH 4AHMARE studying in secondyear (Semester-3) MASTER of Commerce course in the academic year!"#-!"$ at Sheth %.&.T.T. Co''ege of Commerce herey dec'are that Ihae com*'eted the *ro+ect on =MAHARASHTRA VALUE ADDED TAX> as a *art of course re,uirements of studies of niersity of Mumai.

I further dec'are that the information *resented in this *ro+ect istrue and origina' to the est of my no/'edge.

DATE?

PLACE? THANE

S!/%&"u'# * "u$#%"

3IRAN RAMESH 4AHMARE

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AC3NO4LEDMENT

I the undersigned0 hae *'easure in giing my sincere thansto those /ho hae contriuted their a'ua'e time in he'*ing me to achieethe success in my *ro+ect /or. I /ou'd 'ie to than Princi*a' DR P M

3AR3HELE: SHETH N3TT DEREE COLLEE THANE: for hiscontinued su**ort. I /ou'd 'ie to e1*ress my sincere thans to MR AO3HADSE(V!# P'!%!@&) for his constant encouragement0 in com*etition of this *ro+ect successfu''y.

I am indeted and for this *ro+ect /or. I /ou'd 'ie to thanour LIRARY STAFF for *roiding me sufficient thanfu' to my *ro+ect

2uide and Motiator MS ANURADHA PARMAR /hom I o/e his *ieceof no/'edge for his a'ua'e and time'y guidance0 co- o*erationencouragement and time s*ent information0 /hich he'*ed me to com*'etemy *ro+ect successfu''y. I /ou'd 'ie to than a'' the 'ectures for theirsu**ort and guidance throughout the *ro+ect.

I a'so than my fami'y memers for their continued su**ortin com*'eting this *ro+ect /or and 'ast ut not 'east0 I /ish to than a''my friends and /e'' /ishers /ho are direct'y or indirect'y 'ined /ith thesuccess of my *ro+ect.

ROLL NO 75

C*u'# N&#? MC*

S##"#'-;

C*#/# N&#? S+#"+ N3TT C*#/# * C*#'# A'"

U%!B#'!" N&#? Mub&! U%!B#'!"

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O8ECTIVE OF THE STUDY

1To gain no/'edge aout MAT.

2

To understand ho/ auditing is done MAT.3

To understand the adantages and disadantages of MAT.

4This *ro+ect aims at giing a rief understanding aout theMAT.

5To understand the im*act of MAT in India.

6The main o+ectie of this *ro+ect re*ort is to ana'y4e and study

aout MAT.

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RESEARCH METHODOLY

SECONDARY SOURCE?The secondary information is co''ected from arious /esites and

other information has een co''ected from oos.

RESEARCH LIMITATION

As the to*ic 5MA6ARAS6TRA A7E A88E8 TA9 is too ast it is not‖

*ossi'e to coer a'' the to*ics.

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INDEX

%: T:PIC P2 %:

" Introduction ;

Procedure of AT registration <

3 I%CI8E%CE A%8 7E= :> TA9 "

? >I7I%2 :> RETR%S A%8 PA=ME%T :> TA9ES ";

# @I77 :R CAS6 MEM:RA%8M "

$ :R&S C:%TRACTS

; MA6ARAS6TRA AT RE2ISTRATI:% <

< Conc'usion 3

B @i'iogra*hy 33


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INTRODUCTION

The system of a'ue Added Ta1 (AT) has een im*'emented0 in the Stateof Maharashtra0 /.e.f. "st A*ri'0 !!#.

T+# **.!%/ A" +&B# b##% '#@#&#$ *% !%"'*$u"!*% * VAT? –

1. The @omay Sa'es Ta1 Act0 "B#B0 (@ST)

2. The Maharashtra Sa'es Ta1 on the Transfer of Pro*erty in goodsino'ed in the e1ecution of ors Contract (Re-enacted) Act0"B


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PROCEDURE FOR VAT REISTRATION

ONLINE VAT AND REISTRATION APPLICATION.

2o to mahaat.go.in

1 >i'' the res*ectie 7ocation ( no/ your 'ocation)2

rite the name of A**'icant /ho /i'' isit the 8e*artment for *hoto erification and se'ect the Res*ectie Status.( A**'icant shou'd e *resent for Photo erification at the date gien y the de*artmentsafter fi'ing the forms.3

rite the Pan %umer of your usiness.4

After fi'ing the >orm C'ic on ne1t @uttons.

5 A user id /i'' e generated0 Sae the user id and fi'' the a**'ication.

I% &# * *@&% &%$ @'*@'!#"*'+!@ &u"+*'!#$ !/%&"*' &% B!!""+# $#@&'"#%"

!%*'&"!*% '#,u!'#$ "* ! "+# *%!%# &@@!&"!*% * B&"

SN D#"&! R#,u!'#$ C!#%"9 R#@*%#

". %ame of the signatory to the a**'ication

. %ature of usiness- Rese''er-

Manufacturer- Retai'er-

Im*orter- E1*orter- ors

Contractor- 7easing-Restaurant- Commission Agent

3. 8ate of commencement of usiness

?. Main commodities to e so'd

#. Main commodities to e *urchased

$. Emai' Id0 Moi'e numer and 'and'ine

numer

7. Commodities

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http://mahavat.gov.in/ERegistration/http://mahavat.gov.in/Mahavat/officelocations.jsphttp://mahavat.gov.in/Mahavat/officelocations.jsphttp://mahavat.gov.in/Mahavat/officelocations.jsphttp://mahavat.gov.in/ERegistration/


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:ne more *roof of directorsD PartnersD Pro*rietor of aoe-mentionedaddress

Com*u'sory PREISIT y de*artment in Mumai if oth P:@ and P:R in not in your name. In %a''aso*ara a'' the cases are under PREISIT.

4) T/o 'atest *ass*ort si4e *hotogra*h of the a**'icant FF (P'ease do not *aste the *hoto on the *rintout of a**'ication.)

5) Co*y of PA% card of Com*any

6) Co*y of PA% card of a'' 8irectorsD PartnersD Pro*rietors

7) 8emand 8raft from %ationa'i4e @an

I% &# * V*u%"&' R#/!"'&"!*%

Registration >ee Rs. #!?!

Security 8e*osit (%ot refunda'e Rs. #!!!

efore 3 years)

I% &# * C*@u*' R#/!"'&"!*% (A"#' C'*!%/ Tu'%*B#' *

R10:00:000)

Registration >ee Rs. #?!

>or Mumai 'ocation in faor of &%G * M&+&'&+"'& ACMVAT: *aya'e at Mumai

>or :ther 7ocation in faor of S"&"# &%G * I%$!&: AC MVAT0 *aya'eat res*ectie 'ocations.

) I% &# * V*u%"&' R#/!"'&"!*% - %ame0 Tin no and Signature of dea'er registered under Maharashtra AT for more than # years /i'' e re,uired.8etai's re,uired efore fi'ing of form and signature after fi'ing of form .

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http://business.mapsofindia.com/banks-in-india/nationalised-banks-in-india.htmlhttp://business.mapsofindia.com/banks-in-india/nationalised-banks-in-india.html


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)T.* &%##$ +#,u# * Cu''#%" &*u%"

10) P'*#!*% T& %ub#' * D!'#"*' &%$ C*@&%.-If the *rofessionta1 numer is not yet taen then a**'y for the PT numer and attach the

*hotoco*y of the PT a**'ication counter /ith the >orm "!".

11) F*' 1 &%$ 72 !% &# * C*@&%!#

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INCIDENCE AND LEVY OF TAX

As *er the *roisions of MAT0 on'y a dea'er is 'ia'e to *ay ta1 on theturnoer of sa'es /ithin the State of Maharashtra. The term dea'er has een

defined uDs (inancia' Cor*orations0Trans*ort Cor*orations0 7oca' authorities0 Shi**ing and ConstructionCom*anies0 Air'ines0 Adertising Agencies and a'so any cor*oration0com*any0 ody or authority0 /hich is o/ned0 constituted or su+ect to

administratie contro' of the Centra' 2oernment0 any State 2oernment or any 'oca' authority.

6o/eer an agricu'turist0 educationa' institution and trans*orters sha'' not e deemed to e a dea'er (su+ect to fu'fi'ment of conditions).

D#&#' !&b# "* @& T&? – JS# 7K

1The dea'ers0 ho'ding a a'id registration certificate under theear'ier 'a/s0 /hose turnoer of either of sa'es or *urchases e1ceedsthe s*ecified 'imits during the financia' year !!?-!#0 sha'' e deemedto e registered dea'er under MAT Act and sha''0 therefore e 'ia'eto *ay ta1 /.e.f. "st A*ri'0 !!#.

2 The dea'ers0 ho'ding a a'id registration certificate under theear'ier 'a/s0 /hose turnoer of either of sa'es or *urchases has note1ceeded the s*ecified 'imits during the financia' year !!?-!#0 ut/ho hae o*ted to continue their registration certificate (y a**'yingto assessing officer in s*ecified format)0 sha'' a'so e deemed to eregistered dea'er under MAT Act and sha''0 therefore e 'ia'e to *ayta1 /.e.f. "st A*ri'0 !!#.

3 %e/ dea'ers0 /hose turnoer of sa'es e1ceeds the *rescried'imits during any year0 commencing on or after "st A*ri'0 !!#0 'ia'e to *ay ta1 from the date on /hich such 'imit e1ceeds.

4 A dea'er0 /ho ecomes 'ia'e to *ay ta1 under CST Act0 a'though his

turnoer of sa'es /ithin the State does not e1ceeds the *rescried

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'imits0 sha'' ecome 'ia'e to ta1 under MAT /ith effect from thesame date.1

A successor in usiness of any dea'er sha'' ecome 'ia'e to *ay ta1 on andfrom the date of succession.

2 A dea'er0 a**'ying for o'untary registration0 sha'' e 'ia'e to *ay ta1from the date of registration.

I% C&@!"& R#/!"'&"!*% JS# 16: R K

Eery dea'er0 /ho ecomes 'ia'e to *ay ta1 under the *roisions of MAT0sha'' a**'y for registration to the *rescried authority0 in >orm "!"0 /ithin3! days from the date of such 'iai'ity.

Turnoer 'imits for the *ur*ose of 7iai'ityDRegistration HSec 3(?)

Category of Tota' turnoer of Turnoer of ta1a'e goods

dea'er sa'es *urchased or so'dIm*orter Rs. "0!!0!!! Rs. "!0!!!

:thers Rs. #0!!0!!! Rs. "!0!!!

It may e noted /hi'e the tota' turnoer of Rs. "0!!0!!!D- and #0!!0!!!D- isin res*ect of Turnoer of Sa'es (/hich inc'udes a'' sa'es /hether ta1 free or ta1a'e)0 the turnoer 'imit of Rs. "!0!!!D- is in res*ect of ta1a'e goods/hether *urchased or so'd.

@oth the conditions hae to e satisfied for the *ur*oses of 'iai'ityDregistration under this category. HSec 3(?)

D*u#%" '#,u!'#$ *' "+# @u'@*# * R#/!"'&"!*%

The Commissioner of Sa'es Ta10 Maharashtra0 has issued a circu'ar dated ?thMay0 !!#0 /herey a dea'er is re,uired to sumit fo''o/ing documentsa'ong /ith the a**'ication for registration in >orm "!"J

8ocuments to e sumitted a'ong /ith the a**'ication for registrationJ

(%oteJ Co*ies of documents must e se'f-attested and are su+ect toerification from the origina')

In case of fresh registrationJ

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P'** * *%"!"u"!*% * bu!%# (& &@@'*@'!&"#)?

i. In case of *ro*rietary firmJ %o *roof re,uired.

In case of *artnershi*

ii. firmJ(Registered or Co*y of *artnershi* deed.unregistered)

Co*y of Memorandum of iii. In case of com*anyJ Association and Artic'es of

Association.

i. In case of other constitutionJ Co*y of re'eant documents.

P'** * @#'&%#%" '#!$#%"!& &$$'# (@#&# @'*B!$# &" #&" 2$*u#%" *u" * "+# **.!%/ $*u#%")?1 Co*y of ration card.

2Co*y of *ass*ort.

3Co*y of driing 'icence.

4Co*y of e'ection *hoto identity card.

Cor*orationDCounci'D 2ram*anchayat as the case may e.

6 Co*y of 'atest *aid e'ectricity i'' in the name of the a**'icant.

P'** * @&# * bu!%#?

i. In case of Proof of o/nershi* of *remises0 i4. co*y of o/nerJ *ro*erty card or o/nershi* deed or agreement /ith

the ui'der or any other re'eant documents.

ii. In case of Proof of tenancyDsu-tenancy 'ie co*y of tenancy

tenantDsu- agreement or rent recei*t or 'eae and 'icence or

tenantJ consent 'etter0 etc.

Co*y of Income Ta1 Assessment :rder haing PA% or co*y of PA% card (incase of Pro*rietary usinessJ PA% of Pro*rietor in case of *artnershi*

usinessJ PA% of *artnershi* firm and of a'' *artners and in case of registered com*anyJ PA% of the com*any in case of 6>J PA% of 6>

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and &arta etc.). Cha''an in origina' sho/ing *ayment of registration fee.

R#/!"'&"!*% !% &# * +&%/# !% *%"!"u"!*% * "+# $#&#'?

*artnershi* firm then co*y of Partnershi* deed0 etc.).2Co*y of 'atest return-cum-cha''an.

3 Cha''an in origina' sho/ing *ayment of registration fee.PA% of ne/

firm.

R#/!"'&"!*% !% &# * +&%/# !% @&# * bu!%#?1

Proof of ne/ *'ace of usiness as gien in A-3 aoe.2

Co*y of 'atest return-cum-cha''an of the dea'er.

3 Cha''an in origina' sho/ing *ayment of registration fee.

R#/!"'&"!*% !% &# * "'&%#' * bu!%#?1

A'' documents from " to $ gien in KAL.2

Co*y of transfer deed.

3 Co*y of 'atest return-cum-cha''an of the origina' dea'er.

In case of *artnershi* firm0 *roof of residence has to e *roided for a'' *artners0 in case of ody cor*orate0 *roof of residence of a**'icant.

In case of *artnershi* firm0 *hotogra*hs of on'y a**'icant *artner need to esumitted. In case of cor*orate odies0 the detai's of *'ace of residence andPA%0 etc. sha'' e re,uired to e furnished on'y for the signatory to thea**'ication.

>urther0 in case of o'untary Registration0 it is necessary that the a**'icantdea'er is haing a current an account and such dea'er has to e introducedeither y a registered dea'er or y an adocate0 chartered accountant or sa'esta1 *ractitioner. (There is no re,uirement for any de*osit or adance

*ayment as /as there under the ear'ier 'a/).

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R&"# * T&? JS# 5 6K & @#'

Schedu'esJ

Schedu'e Essentia' Commodities (Ta1 free) %i' KAL

Schedu'e 2o'd0 Si'er0 Precious Stones0 Pear's etc. "

K@L

Schedu'e

8ec'ared 2oods0 Industria' In*uts0and such other

? KCL s*ecified goods

Schedu'e

>oreign 7i,uor0 Country 7i,uor etc.Motor S*irits at! K8L s*ecified rates

Schedu'e A'' other goods (not coered y A to 8) ".#! KEL

T& @&&b# b & D#&#'? – JS# ;K

A dea'er is 'ia'e to *ay ta1 on the turnoer of sa'es of goods0 /ithin theState0 as *er the rates s*ecified in the schedu'es. The ta1 so *aya'e for anyta1 *eriod sha'' e reduced y the amount of in*ut ta1 credit (set off) for /hich the dea'er is e'igi'e during the same ta1 *eriod.

Ta1 Period

Ta1 Period in re'ation to a dea'er may e a Ca'endar Month0 Nuarter (a *eriod of three month i.e.0 A*r to Oun0 Ou'y to Se*0 :ct to 8ec and Oan toMar) or si1 months (*rescried *eriod of si1 months i.e.0 A*ri' to Se*temer and :ctoer to March).

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R#"u'% F*' &%$ P&#%" * T&?

A'' such returns0 /hether month'y0 ,uarter'y or si1 month'y hae to e fi'edin *rescried form (Return cum cha''an). There are se*arate forms

*rescried for arious categories of dea'ers (>orms !" to "?).

The ta1 *aya'e0 if any0 as *er return0 sha'' e *aid in to the 2oernmentTreasury a'ong /ith the return. HSec 30 R ?"

In case of de'ayed *ayments0 interest is *aya'e "# *.a. Such interest ismandatory and sha'' e *aid a'ong /ith the return.

If ta1 *aya'e for any *eriod is ni' or there is credit cDf0 the return sha'' esumitted to the office of the assessing officer. (6o/eer0 in Mumai0 at thes*ecia' counters set u* for the *ur*ose at Ma4gaon Sa'es Ta1 :ffice).

Reised return0 for any *eriod0 can e fi'ed /ithin $ months from the end of year in /hich such ta1 *eriod fa''s or efore recei*t of notice for assessment0/hicheer is ear'ier. HSec !(?)

INPUT TAX CREDIT (ITC) (SET OFF)? -– JS# ;: Ru# 51 "* 56K

E!/!b!!"J A'' registered dea'ers0 /hether manufacturer or traders0e'igi'e to tae fu'' set off of the ta1es *aid on in*uts i.e. a'ue Added Ta1

*aid0 /ithin the State of Maharashtra0 on *urchases of Ra/ Materia'0>inished 2oods and Pacing Materia'.

E%"' T&? The amount of entry ta10 *aid y a registered dea'er on thegoods the sa'e of /hich is 'ia'e for AT under MAT0 /i'' e e'igi'e for fu'' setoff.

ITC *% C&@!"& **$? Ta1 *aid on certain items of ca*ita' goods(defined) such as machinery0 com*onents0 *arts and s*ares etc. are a'soe'igi'e for fu'' set off.

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ITC *% M!#&%#*u **$? The amount of at *aid on *urchase of misce''aneous goods0 deited to Profit G 7oss ADc (such as *rinting andstationery0 re*airs0 sa'es *romotion etc.) a'so e'igi'e for fu'' set off.

ITC *% Fu#? Ta1 *aid on *urchase of goods0 /hich is used as fue'0 sha'' e e'igi'e for set off0 in e1cess of ?.

ITC *% O@#%!%/ S"*G J The goods /hich is he'd as c'osing stoc as on3"st March !!#0 y a registered dea'er0 /ho is a traderDrese''er0 /i'' e'ia'e for ta10 as and /hen so'd0 under MAT. To aoid dou'e ta1ation0 it is

*roided that the ta1es *aid on such goods under the ear'ier 7a/s (@ST0CT0 7ease Ta10 Entry Ta1) /i'' e a''o/ed as set-off0 *roided no set off has een c'aimed on such goods under any of the ear'ier 7a/s. The amountof such set off sha'' e /ored out as *er the *roisions of Ru'e ??8 of the

@omay Sa'es Ta1 Ru'es "B#B. Thus sa'es ta1 and *urchase ta10 if any0 *aidon such *urchases /i'' e e'igi'e for set-off. (%o set off of T:T0 SC andRST). The goods *urchased against >orm 3" /i'' e su+ect to the deductionas *roided in @ST Ru'es. It is further *roided that the set off0 on sucho*ening stoc as on "st A*ri' !!#0 may e disa''o/ed if the goods is notso'd /ithin a *eriod of nine months from the a**ointed day i.e.0 such goodsmust e so'd0 or in case of *acing materia' must e used in *acing of suchgoods so so'd on or efore 3"st 8ecemer !!#. It may e noted that there isno condition aout the date on /hich such goods /as *urchased. It issufficient to *roe that the goods /as *urchased on or efore 3"st March

!!# and has een he'd in stoc as on the a**ointed day. The fu'' amount of set off can e c'aimed in the first return itse'f. @ut in case of goods0 treatedas ca*ita' asset0 the set off is *ermitted on'y on such goods0 /hich has een

*urchased on or after "st A*ri' !!3 and so'd on or efore 3"st 8ecemer !!#. (ITC to e c'aimed in the month of resa'e of such ca*ita' assets).

R#$u"!*% !% S#" *? The amount of set off0 aai'a'e to a registered dea'er0sha'' e reduced to the e1tent as *roided0 under the fo''o/ingcircumstancesJ -1

? of the *urchase *rice of res*ectie goods0 if ta1a'e goods usedas fue'.2? of the *urchase *rice of res*ectie goods0 if ta1a'e goods used inmanufacture of ta1-free goods.

3 ? of the *urchase *rice of res*ectie *acing materia' used in the

*acing of ta1-free goods.

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1? of the *urchase *rice of res*ectie goods0 if ta1a'e goods sent to anyother State in India as @ranch Transfer or on Consignment.

2 S*ecified *ercentage of set off0 if ta1a'e goods used in orsContract for /hich the dea'er has chosen to *ay ta1 under theCom*osition Scheme.

In case of 7i,uor0 so'd y dea'ers ho'ding 7i,uor endor 7icence in >orm

>7-II0 C7-III0 and C7D>7DT:8DIII0 as *er formu'a0 if the actua' sa'e *rice is'ess than MRP.

In case of dea'ers0 /hose tota' recei*ts on account of sa'e are 'ess than #!of tota' gross recei*ts of usiness then setoff restricted to corres*onding

*urchases.

In case of c'osure of usiness0 the set off on goods he'd in stoc (other thanca*ita' assets)0 on the date of c'osure0 to e disa''o/ed and according'y ereduced fu''y.

hereer such reduction in se toff is re,uired to e done0 it sha'' e done inthe ta1 *eriod in /hich such contingency arises.If0 for the *ur*ose of reduction of set off0 /hereer re,uired0 it is not *ossi'e to identify thecorres*onding *urchases then *ro*ortionate reduction on >I>: asis.

C*%$!"!*% *' /'&%" * #" *? – 1

Set-off to e a''o/ed on'y to a registered dea'er.

2 A a'id Ta1 Inoice is must to c'aim set off.

.

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ILL OR CASH MEMORANDUM

Section


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4OR3S CONTRACTS

As there is no se*arate act goerning /ors contract transactions0 a'' suchtransactions are no/ ta1a'e as deemed sa'es under the MAT Act. The rateof ta10 on such deemed sa'es of goods0 used in the e1ecution of /orscontract0 sha'' remain same as *rescried in the aforesaid schedu'es to theres*ectie goods. 6o/eer the sa'e *rice of such goods has to e determinedin accordance /ith the *roisions contained in Ru'e #< of the Maharashtraa'ue Added Ta1 Ru'es0 !!#.

According'y the a'ue of the goods at the time of the transfer of *ro*erty inthe goods (/hether as goods or in some other form) ino'ed in thee1ecution of /ors contract has to e determined y effecting the fo''o/ingdeductions from the a'ue of entire contract in so for as the amounts re'atingto the deduction *ertain to the said /ors contractJ

1 'aour and serice charges for the e1ecution of the /ors /herethe 'aour and serice done in re'ation to the goods is suse,uent to thesaid transfer of *ro*ertycontractors

3charges for *'anning0 designing and architectLs fees

4charges for otaining on hire or other/ise0 machinery and too's for thee1ecution of the /ors contract

5cost of consuma'es such as /ater0 e'ectricity0 fue' used in thee1ecution of /ors contract0 the *ro*erty in /hich is not transferred inthe course of e1ecution of the /ors contract

6cost of esta'ishment of the contractor to the e1tent to /hich it is re'ata'eto su**'y of the said 'aour and serices

7other simi'ar e1*enses re'ata'e to the said su**'y of 'aour andserices0 /here the 'aour and serices are suse,uent to the saidtransfer of *ro*erty

8 *rofit earned y the contractor to the e1tent it is re'ata'e to the su**'y of said 'aour and sericesJ

9 Proided that /here the contractor has not maintained accounts

/hich ena'e a *ro*er ea'uation of the different deductions as aoe

or /here the Commissioner finds that the accounts maintained y the

contractor are not sufficient'y c'ear or inte''igi'e0 the contractor or0 as

the case may e0 the Commissioner may in 'ieu of the deductions as

aoe *roide a 'um* sum deduction as *roided in the Ta'e e'o/

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and determine according'y the sa'e *rice of the goods at the time ofthe said transfer of *ro*erty.

4OR3S CONTRACT – SALE PRICE

TA@7E

Seria'FAmount to e deducted

Ty*e of ors contract from the contract *rice %o.

()

(") () (3)

" Insta''ation of *'ant and machinery >ifteen *er cent.

Insta''ation of air conditioners and air Ten *er cent.

coo'ers3 Insta''ation of e'eators ('ifts) and >ifteen *er cent.

esca'ators

? >i1ing of mar'e s'as0 *o'ished granite T/enty fie *er centstones and ti'es (other than mosaic ti'es)

# Cii' /ors 'ie construction of Thirty *er cent. ui'dings0 ridges0 roads0 etc.

$ Construction of rai'/ay coaches or under Thirty *er cent.

carriages su**'ied y Rai'/aysShi* and oat ui'ding inc'uding

; construction of arges0 ferries0 tugs0 T/enty *er cent.

tra/'ers and dragger

< >i1ing of sanitary fittings for *'uming0 >ifteen *er cent.drainage and the 'ie

B Painting and *o'ishing T/enty *er cent.

"! Construction of odies of motor ehic'es T/enty *er cent.

and construction of trucs"" 7aying of *i*es T/enty *er cent.

" Tyre retreading >orty *er cent.

"3 8yeing and *rinting of te1ti'es >orty *er cent.

"? Any other /ors contract T/enty *er cent.

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The *ercentage is to e a**'ied after first deducting from the tota' contract *rice0 the amounts *aid y /ay of *rice for the entire su-contract to su-contractors0 if any.

The a'ue of goods so arried at under Ru'e #< (") sha''0 for the *ur*oses of 'ey of ta10 e the sa'e *rice or0 as the case may e0 the *urchase *ricere'ating to the transfer of *ro*erty in goods (/hether as goods or in someother form) ino'ed in the e1ecution of a /ors contract.

4OR3S CONTRACT – COMPOSITION SCHEME

Section ?(3) *roides for a ors Contract Com*osition Scheme0 /hereya dea'er0 at his o*tion0 may choose to *ay ta1 orm ?!.

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res*ect to each of such contractor0 to the res*ectie *rescried officer0 in>orm ?!30 /ithin ! days from the end of the month.2

Maintain necessary records in *rescried format0 >orm ?!?.3

>i'e an annua' return of T8S0 in >orm ?!#0 /ithin 3 months from the endof the year.

4 Attend and *roduce records efore the assessing authority as and /henased to do so.

E@*#' %*"!!#$ *' "+# @u'@*# * TDS

SC6E87E

Seria' C'asses of Em*'oyers Amount to e deducted

%o.

(") () (3)

(") The Centra' 2oernment and any State T/o *er cent of the

2oernment amount *aya'e as aoein the case of a contractor /ho is a registered dea'er

and four *er cent in any

other case

() A'' Industria'0 Commercia' or Trading Q do Q undertaings0 Com*any or Cor*oration of

the Centra' 2oernment or of any State

2oernment0 /hether set u* under any

s*ecia' 'a/ or not0 and a Port Trust set u*

under the Ma+or Ports Act0 "B$3

(3) A Com*any registered under the Q do Q

Com*anies Act0 "B#$

(?) A 'oca' authority0 inc'uding a Munici*a' Q do Q

Cor*oration0 Munici*a' Counci'0 i''a

Parishad0 and Contonment @oard

(#) A Co-o*eratie Society inc'uding a Co- Q do Q o*eratie 6ousing Society registered

under the Maharashtra Co-o*eratie

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Societies Act0 "B$!

($) A registered dea'er under the Maharashtra Q do Q a'ue Added Ta1 Act0 !!


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(;) An Insurance or >inance Cor*oration or Q do Q Com*any and any @an inc'uded in the

Second Schedu'e to the Resere @an of India Act0 "B3?0 and any Schedu'ed @an

recognised y the Resere @an of India(


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Simi'ar'y section $3($) re,uires that the effect of a'' such deit notes or credit notes0 /hich are in the nature of increasing or decreasing either sa'e

*rice or *urchase *rice of goods0 sha'' e taen in the return for the *eriod in/hich entries for such deitDcredit notes are taen in the oos of account.

Ru'e $< re,uires eery registered dea'er to *resere a'' oos of account0registers and other documents *ertaining to stocs0 *urchases0 dis*atchesand de'iery of goods and *ayments made to/ards sa'e or *urchase of goodsfor a *eriod of not 'ess than fie years from the e1*iry of year to /hich theyre'ate.

AUDIT OF ACCOUNTS

Section $"(") of the MAT Act *roides thatJ Eery dea'er 'ia'e to *ay ta1

sha''J 1

if his turnoer of sa'es or0 as the case may e0 of *urchases0 e1ceed or e1ceeds ru*ees forty 'ah in any year0 or

2 if he is a dea'er or *erson /ho ho'ds a 'i,uor 'icence in

*rescried form0 get his accounts in res*ect of such year audited y an

Accountant0 /ithin the *rescried *eriod from the end of that year0

and furnish /ithin that *eriod the re*ort of such audit0 in the

*rescried form0 du'y signed and erified y such accountant and

setting forth such *articu'ars and certificates as may e *rescried.

E@&%&"!*% Q>or the *ur*oses of this section0 Accountant means aChartered Accountant /ithin the meaning of the Chartered Accountants Act0"B?B.1

Ru'e $#. The re*ort of audit under section $" sha'' e in >orm;!?.2

Ru'e $$. The re*ort of the audit under section $" sha'' e sumitted /ithineight months of the end of the year to /hich the re*ort re'ates.3

>ai'ure to furnish such re*ort0 in time0 may attract *ena'ty e,ua' toone-tenth *er cent of the tota' sa'es or as the case may e0 *urchases or asum of Rs one 'ah0 /hicheer is 'ess.

4 Proided that the dea'er fai's to furnish a co*y of such re*ort/ithin the aforesaid *eriod ut fi'es it /ithin one month of the end of the said *eriod and the dea'er *roes to the satisfaction of theCommissioner that the de'ay /as on account of factors eyond hiscontro'0 then the Commissioner may condone the de'ay

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MAHARASHTRA VAT REISTRATION

The Maharashtra a'ue Added Ta1 Act0 !! goerns AT D TI%

Registration in Maharashtra0 AT Ta1 Rates0 Return >i'ing and a'' as*ects of

a'ue Added Ta1 in Maharashtra. In Maharashtra0 AT Registration ismandatory for anyone /ith annua' sa'es turnoer of oer Rs.# 'ahs. In case0

of Im*orters0 AT Registration is mandatory if the annua' turnoer crosses

Rs." 'ah. In addition0 those *ersons /ishing to commence commerce in the

state of Maharashtra may get o'untary AT Registration under Section "$

of the Maharashtra a'ue Added Ta10 !! y *aying a security de*osit of

Rs.#!!! to the 2oernment Treasury. :nce the a**'ication for AT

Registration is made0 the registering authority /i'' a''ot a TI% %umer (Ta1

Identification %umer). There is no difference et/een AT0 TI% and CST0

so the Maharashtra AT Registration /i'' a'so sere as the dea'ers

Maharashtra TI% %umer or Maharashtra CST Registration.

UIDANCE NOTE ON MAHARASHTRA VAT AUDIT (MVATAUDIT)?

:n *rocedure to e ado*ted for at audit in Maharashtra0 documentsre,uired for at audit in maharashtra0 form to e fi''ed u* for at audit inmaharashtra.>orm ;!? /i'' e re,uired to fi'' and u*'oaded for at audit in

maharashtra.go to mahaat.go.in and do/n'oad the forms.

VAT TAX RATES

In Maharashtra0 AT Ta1 Rates are 'eied under fie different categories ased on the goods so'd. The fo''o/ing are the ma+or schedu'es of Maharashtra AT Ta1 Rates and the res*ectie AT RateJ

12oods in Schedu'e A AT E1em*t (EgJ Manua''y o*eratedagricu'tura' im*'ements0 e'ectricity0 fire/ood0 sa't0 etc.0)

2

2oods in Schedu'e @ " or "." AT Ta1 Rate (Oe/e''ery0Precious Meta's0 Precious Stones0 Imitation Oe/e''ery0 etc.0)

32oods in Schedu'e C or 3 or ? or # AT Ta1 Rate(Agricu'tura' machinery0 cotton yarn0 icyc'es0 medica' drugs0 *a*er0etc.0)

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http://www.mahavat.gov.in/Mahavat/GetDataAction?option=Maharashtra%20Value%20Added%20Tax%20Acthttp://mahavat.gov.in/Mahavat/GetDataAction?option=Electronic%20Formshttp://www.mahavat.gov.in/Mahavat/GetDataAction?option=Maharashtra%20Value%20Added%20Tax%20Acthttp://mahavat.gov.in/Mahavat/GetDataAction?option=Electronic%20Forms


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12oods in Schedu'e 8 ! and aoe AT Ta1 Rate (>oreign7i,uor0 ine0 6igh S*eed 8iese' :i'0 Aerated 8rins0 Cigars0Cigarettes0 etc.0)

22oods in Schedu'e E ".# AT Ta1 Rate Those goods notmentioned in any of the aoe schedu'es are ta1 at ".# under Schedu'e E.

SCHEDULE ENTRY TAX RATE

A TA9 >REE

@ " :R "."

C ? :R #

8 ? T: #!

E ".#

VAT RETURN FILIN

8ea'ers haing a ta1 'iai'ity of Rs.! 'ahs or more in the *reious year are

re,uired to fi'e month'y Maharashtra AT Return /ithin " days of the

*reious month. Those dea'ers haing a ta1 'iai'ity of more than Rs." 'ah

ut 'ess than Rs."! 'ah in the *reious year are re,uired to fi'e Nuarter'y

MAT Return /ithin " days of end of ,uarter. 8ea'ers haing 'ess than

Rs." 'ah of ta1 'iai'ity in the *reious year can fi'e ha'f year MAT returns

/ithin 3! days of end of si1 months of financia' year.

VAT PAYMENT

The Maharashtra AT Payment due date fa''s on the same due date as that of the MAT Return due date. Therefore0 dea'ers haing a ta1 'iai'ity of Rs.!'ahs or more in the *reious year are re,uired to de*osit month'yMaharashtra AT *ayment /ithin " days of the *reious month. Thosedea'ers haing a ta1 'iai'ity of more than Rs." 'ah ut 'ess than Rs."! 'ahin the *reious year are re,uired to *ay month'y MAT *ayment /ithin "

days of end of ,uarter. 8ea'ers haing 'ess than Rs." 'ah of ta1 'iai'ity inthe *reious year can *ay MAT *ayment /ithin 3! days of end of si1months of financia' year.

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LETTER OF SUMISSION?

7etter of sumission is a statement sumitted to the sa'es ta1 de*artmentafter on'ine fi''ing of AT Audit form ;!?. This 'etter contains the %ame0

Tin %o. of assessee0 *eriod for /hich AT Audit form ;!? is fi''ed. It a'socontains the the name of the *erson /ho has u*'oaded the AT Audit form;!?0 8ate of u*'oading0 *'ace from /here u*'oaded0 moi'e %o.0 E-mai' id.This Statement a'so contains the recommendations of the auditor /hich /asacce*ted y the dea'er G if the recommendations are not acce*ted then thereason for the non acce*tance.

PART-I UNDER MVAT AUDIT?

The Part-I of the AT Audit re*ort contains the 'ocation of the sa'es ta1office under /hose +urisdictions *'ace of usiness of assessee esta'ished. Itcontains the confirmation of Chartered Accountant /ho has audited the Ta1Audit of assessee if a**'ica'e /ith Ta1 audit date.

(I) at return of the dea'er 'ie *eriodicity of AT return0 /hether *ro*er'yfi''ed or not0 hether dea'er has mainted stoc register or not0 /hether return under CST Act fi''ed or not.

In this /e hae to se'ect /hich schedu'e G Anne1ure is a**'ica'e for assessee G if /e *roide any negatie remars then reason for the same is to

e gien.

(II)/e hae to fi'' the information re'ating to Sa'es affected in MaharashtraG the ta1 *aya'e on the same.

(III) /e hae to fi'' the information re'ating to sa'es affected outsideMaharashtra G the ta1 *aya'e on the same.

(I) /e hae to fi'' the Cumu'atie ,uantum of enefits aai'ed.

(I)/e hae to fi'' the c'assification of additiona' dues /ith ca'cu'ation of ta1 G interest thereon. In a'' the aoe ta'e /e hae to /rite oth theamount means amount as *er return G amount determined as *er auditor 0and difference et/een the oth is se'f ca'cu'ated.

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PART-II UNDER MVAT AUDIT?

nder this Auditor is re,uire to fi'e the 2enera' information aout the dea'er usiness actiities 'ie emai' id0 Moi'e0 7and'ine no.0 PA% of the dea'er0 %ame of dea'er0 Trade name of dea'er Address of the dea'er0 Additiona' *'aceof usiness of dea'er .

In this auditor has to s*ecify the no. of diision or units /here oos arese*arate'y e*t.

Auditor has to *roide the information re'ated to registration under other acts 'ie P.T. Act.

Auditor has to a'so s*ecify the Commodity in /hich dea'er dea's /ith the

schedu'e entry of the same0 name of the accounting soft/are0 hether thereis change in a'uation of stoc0 *roduct 'ine0 accounting soft/are or anyother changes. Auditor has to se'ect the nature of usiness0 Constitution of

usiness0 oring ca*ita' em*'oyed0 Actiity code 0 Particu'ars of @an Accounts etc.

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CONCLUSION

nder MAT Act0 !! assessment /i'' e made s*aring'y and hence moreim*ortance is gien to returns. In asence of scrutiny assessments0 returns

/i'' e fu'fi''ing the *ur*ose of assessment and hence 8e*artment giesmore im*ortance to returns.

6ence *ena'ties are *roided for defau'ts. 8ea'ers shou'd tae care tocom*'y /ith the 'a/. The aoe is on'y an indicatie discussion and moreissues can cro* u* in course of time and on facts of the case0 /hich arere,uired to e taen care of y the concerned dea'ers and *ersons.

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Maharashtra Value Added Tax Act (1)

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