Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: ARTICLES ON INPUT TAX CREDIT IN VAT :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: empanelment :: due date for vat payment :: VAT Audit :: articles on VAT and GST in India :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TAX RATES - GOODS TAXABLE @ 4% :: ACCOUNTING STANDARDS :: TDS :: cpt :: Central Excise rule to resale the machines to a new company :: VAT RATES :: form 3cd
 
 
VAT (Value Added Tax) »
 Is it a modified Value Added Tax?
 GST regime: VAT Commissioner and CBEC to work with businesses
 Amendments in the Second Schedule appended to the Act (Delhi Value Added Tax Act, 2004)
 Guidelines relating to downloading of Statutory Forms-Modification thereof
  Grant of Registration under DVAT & CST
 VAT on petroleum products to continue, to be decided by GST Council
 Government rolls out settlement scheme to clear VAT, CST dues
 Maharashtra government offers VAT benefit to realty buyers
 Govt should focus on income tax instead of VAT
 Amendments in the second Schedule received from Finance Deptt.
 VAT exemption stays in tax reform bill

Tamil Nadu cautions against VAT evasion by e-tailers
October, 10th 2014

In a fallout of the outcry over discount sales by e-commerce players, the Tamil Nadu government has raised a flag. The state commercial taxes department has issued a communication cautioning businesses about the repercussions of indulging in unfair trade practices.

“Recent investigations undertaken by the commercial taxes department of the Tamil Nadu government reveal that certain dealers involved in online trading have indulged in tax evasion by not declaring the turnover on online sales. Such dealers have not paid value-added tax (VAT) due thereon to the government on sales effected through e-commerce portals,” said the note signed by principal secretary of commercial taxes. “In one such instance, a dealer made online sales worth several crores of rupees but reported a small portion of the turnover to the government, for which legal action is being pursued to collect tax due including interest and penalty.”

The department is verifying bank transactions made on e-commerce portals to detect suppression of sales and ascertain legitimate tax due to the government and the tax recovered as per provisions of the state VAT Act. “Further, such dealers evading tax are warned of prosecution under Section 71 of the Tamil Nadu Value Added Tax Act, 2006,” the notification said.

VAT is payable on online purchase of any goods, including downloaded software, e-books and songs, among others, by a consumer in Tamil Nadu from an online retailer delivering goods from Tamil Nadu. In case an e-tailer delivers goods from Tamil Nadu to a consumer in another state, central sales tax is payable. In the case of sale of motor vehicles from within Tamil Nadu or outside the state to a consumer in Tamil Nadu, entry tax should be paid by the online seller or importer of such vehicle.

“Hence the dealers involving in e-commerce are hereby cautioned to disclose and pay VAT and central sales tax due on all transactions through e-commerce portals promptly, failing which punitive action will be taken as per penal provisions of TNVAT Act 2006,” the note said.

This is not the first time e-tailers are facing a tax tangle. Amazon India has found itself on a sticky wicket with tax authorities in Karnataka over the Fulfillment by Amazon service, wherein the global giant encourages third-party sellers on its platform to store goods in its warehouses even before an order is placed. The tax authorities contend that Amazon is essentially functioning as a commission agent, which, they say,

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System developers CMS developers Content Management Solutions CMS Solutions CMS India Content Management System India CMS development India Website CMS Website Content Management India Portal CMS India CMS Outsourcing CMS Vendor Complete CMS Custom CMS Services

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions