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 RATES :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: empanelment :: ACCOUNTING STANDARD :: cpt :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: articles on VAT and GST in India :: form 3cd :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: Central Excise rule to resale the machines to a new company :: TDS :: ACCOUNTING STANDARDS
VAT (Value Added Tax) »
 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
 Government to announce new VAT rates in October
 World Wide Gst, Vat, Sales Tax Rate
 Article on Transition Process of Registrations under VAT / Service Tax Laws to GST Law

Telangana considers levying VAT on e-commerce deliveries as a tax mobilisation measure
December, 12th 2014

The Telangana government is weighing options to levy value-added tax (VAT) on deliveries by ecommerce firms in the state, potentially setting off a fresh taxation wrangles between a state and the fast-growing sector.

In neighbouring Karnataka, global ecommerce giant Amazon is already locked in a tax dispute with local tax authorities after they slapped notices on some 100-odd sellers on the company's electronic marketplace who had listed its warehouse as an additional place of business, saying their actions were deemed to be in contravention of the state VAT laws. About 25 merchants' licences have since been cancelled.
Officials in Telangana said the thinking behind the move to levy VAT was part of a broader plan to bolster tax revenues and the government will take a decision on the tax mobilisation measures shortly.

One senior official in newly created state's finance ministry said authorities had noticed a sizeable drop in VAT collections over the last few months, which they think could be because of a surge in e-commerce transactions that were evading VAT payments and a fall in brick-and-mortar format store sales. "A proposal is being considered to conduct large scale searches on all the entities associated with e-commerce portals to see if there are any holes that need to be plugged immediately to help raise tax collections," he said.

Confirming the initiatives, B Revathi Rohini, additional commissioner of commercial taxes (enforcement), said the department was analysing whether taxes were paid by all traders doing business across the state. "There is an apprehension that under guise of ecommerce whether the taxes are being evaded and we are checking that. Our concern is if any tax is getting evaded at that level," she told ET.

Saying the Telangana government was also looking at roping in ecommerce companies to discipline the entire transaction process, she said: "They (ecommerce players) may collect taxes less than what is applicable to the commodity, but they will have to pay the amount levied on a particular commodity to the state."

The move, which ecommerce firms believe could adversely affect operations, comes at a time Telangana's neighbour, Chandrababu Naidu-led Andhra Pradesh, is in talks with Amazon to shift its base to his state and is said to have offered it tax incentives.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Team

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