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: cpt :: articles on VAT and GST in India :: ACCOUNTING STANDARD :: due date for vat payment :: VAT Audit :: Central Excise rule to resale the machines to a new company :: VAT RATES :: ACCOUNTING STANDARDS :: form 3cd :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
 
 
News Headlines »
 Directions under section 119 of the Income-tax Act, 1961
 Securities excluded from GST ambit in revised Bill
 GST dilemma: Hope fades for new tax regime
 5nance.com launches tax investment platform
 Is government tapping your phone?
 Income tax department to use analytics to look for discrepancies in bank accounts
 GST Council fails to break deadlock over indirect tax regime, next meet on Dec 11 and 12 to hammer out differences
 Invoking Writ Jurisdiction For Income Tax Matters
 How to file income-tax returns online
 How Income Tax Returns Are Scrutinised
 All About New Income Disclosure Scheme to make Demonetisation successful

Centre yet to finalise 44 items proposed for VAT
January, 08th 2007

The Union government is yet to take a final call on the composition of the fresh list of 44 items proposed to be brought under the ambit of value added tax (VAT) to compensate states for revenue losses arising due to a one percentage point cut in central sales tax (CST) to 3%.

No decision has been taken on including tobacco in the new list of items that will come under VAT. The government is also yet to finalise the date for introduction of the new tax regime. The date of April 1, 2007, which has been mentioned in some media reports, would thus appear speculative at this stage. Asim Dasgupta, West Bengal finance minister and chairman of the Empowered Committee on VAT, said,

The new items to be included under VAT are now being finalised between the Union finance ministry and the Empowered Committee. The process is likely to take some time. No timeframe has also been finalised for introduction of the new tax regime. In response to a specific query on tobacco, Mr Dasgupta clarified, No decision has been taken on bringing tobacco under the new VAT list.

The tobacco sector contributes Rs 8,000-9,000 crore to the national exchequer every year. The industry has been reeling under successive excise hikes in the last few years. But, a decision has been reached that 44 new items are to be brought under VAT and revenue from these items would accrue to the states, he said. As a consequence, total number of items under VAT would go up to 77.

He was referring to the decision taken at a meeting on January 3 in New Delhi between the top finance ministry officials headed by the Union finance minister, P Chidambaram and the Empowered Committee of State Finance Ministers on VAT. At present, 33 items are on the VAT list and are currently taxed by the central government.

The revenue generated from 44 new items is expected to range from Rs 5,000- 10,000 crore for the states. With 1% reduction in CST, states are expected to face losses of Rs 6,250 crore in the fiscal 2007-08.

 
 
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