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: VAT Audit :: due date for vat payment :: TDS :: articles on VAT and GST in India :: cpt :: form 3cd :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TAX RATES - GOODS TAXABLE @ 4% :: ACCOUNTING STANDARD :: VAT RATES :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARDS :: empanelment :: Central Excise rule to resale the machines to a new company
 
 
VAT (Value Added Tax) »
 Cases of VAT overcharging flood consumer forum
 State seeks relief from Centre
 Flat rate VAT changes for small businesses explained
 Cenvat Credit Of Additional Duties Of Customs [Cvd] On Imported Coal
 Excise Dept puts VAT refund on fast track
 Consumer fora receive 18 VAT plaints
 Appointment of Assistant VATO - F.3(14)/Fin(Rev-I)2012-13/DSVI/334
 Bio-diesel body seeks VAT relaxation
 HC seeks Delhi, centre reply on restaurants charging excess VAT, service tax
 Shakti Autos booked for evading VAT, bogus sales
 VAT sops to IOCL Paradip refinery hits Odisha revenue growth

Govt sop to small traders to come under tax net
November, 11th 2011

The commercial taxes department of the state government has been pushing hard to bring into its tax net all small traders in the state practising trade and business activities only within the state, but having annual turnover not exceeding Rs 40 lakh. It is providing a sop to them, but with a rider.

The sop given to them is in the form of exemption from the department's scrutiny of their papers, if they agreed to pay a lump sum amount to the department annually.

The lump sum amount that such traders would have to pay to the commercial taxes department annually is Rs 10,000 in a maximum of two instalments. "It is a new scheme that came into force this year. In fact, it is a policy floated by the Centre," commercial taxes department secretary cum commissioner R Punhani said on Thursday.

While the Centre announced and implemented the policy to bring into tax net the aforesaid designated small traders only this year, the state's commercial taxes department has been riding high on the performance front, as it has been netting increasingly higher volume of taxes from traders and dealers due to increased business and trade activities for the last five fiscals, specially in the light of construction-driven economy. The assumption, of course, is that all classes of traders have benefited from the improved business and trade atmosphere in the state.

"If the small traders with annual turnover up to Rs 40 lakh complied with the department's new policy aimed at benefiting them, then they would get several benefits which other traders are not getting," Punhani said, adding: "They would get freedom from auditing of their value added tax (VAT) papers. The department would also exempt them from having their details scrutinized by its officials. Besides, they would use and utilize easy and simplified forms to submit the details of their returns to the department."

While the commercial taxes department has not yet made its intent strict, the designated small traders have begun to turn up to avail themselves of the new opportunity provided to them to conduct their trade and business activities within the state in a relatively more unencumbered way. On an estimate, the state had around 1 lakh such traders, and around 3,000 of them had already signed the papers agreeing to pay Rs 10,000 in two instalments, Punhani said.

According to him, the World Bank, in its consultative meeting with the Centre, had impressed on it to improve the country's tax resources by bringing the untapped small traders in the tax net. The Centre, accordingly, devised the small tax payers scheme, Punhani said.

He added that Bihar had 1.72 lakh traders each of whom had been filing tax returns of more than Rs 1 lakh every year. It provided the base for netting Rs 6,685 crore by way of commercial taxes during the last fiscal. Moreover, tax earnings of the department had also registered 23.05 per cent growth rate every year for the last five fiscals, Punhani said, adding that the department had already collected Rs 3,764 crore against the target of Rs 4,111 crore till September 2011.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Custom Software Development Outsourcing Custom Software Development Offshore Cus

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