Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
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) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
 
 
 
 
Popular Search: ARTICLES ON INPUT TAX CREDIT IN VAT :: empanelment :: due date for vat payment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS :: form 3cd :: ACCOUNTING STANDARDS :: articles on VAT and GST in India :: cpt :: VAT RATES :: ACCOUNTING STANDARD :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: Central Excise rule to resale the machines to a new company :: VAT Audit
 
 
« General »
 Questions about the GST cess
 How to prepare for the looming tax-extension deadline
 Income tax: Gratuity for employees raised to Rs 20 lakh; here is how you will benefit
 Haryana to set up scrutiny panel on GST benefits
 Waive certain taxes for companies in insolvency proceeding
 I-T department to appoint 7600 more tax return preparer scheme to cover entire country
 All eyes are on GST as Centre plans higher social pension
 Exporters demand total exemption from GST
 Here's what you must know to stay clear of taxman
 Filing income tax returns is not enough, you need to link Aadhaar with PAN before deadline ends
 If you don't link Aadhaar, PAN by Aug 31, your ITR won't be processed

Centre asks states to lower luxury tax
January, 27th 2009

To bail out the tourism industry hit by the global slowdown, the Union government has requested state governments to bring down luxury tax on hotels and sales tax on food and beverages.

The Ministry of Tourism has also appealed to states to evolve a single-window permit system and rationalise passenger and road taxes. At present, luxury tax varies between 5 and 20 per cent.

For its part, the ministry has written a letter to Prime Ministers Office (PMO) to include tourism in the stimulus package. Specifically, it has requested higher reimbursement of service tax (90 per cent as against 75 per cent at present), increase in floor area ratio and declaring hotel construction as infrastructure projects.

Union Tourism Secretary Sujit Banerjee has made a presentation to the state finance ministers a few days ago on these issues.

The luxury tax on hotels varies from 5 per cent in Uttarakhand to 12.5 per cent in Delhi and 20 per cent in Assam and Meghalaya on published tariff. Some states charge this tax on actual tariff rate also. Banerjee has requested that the tax rate should be brought down to a uniform rate of 4 per cent on actual tariff charged. This will specifically boost the tourism and hotel industry in places like Delhi and Mumbai.

Global meltdown and Mumbai terror attacks have spelt doom for the tourism and hospitality sector, leading to widespread cancellation of hotel bookings across the country during the ongoing peak season.

The sales tax on food and beverages also varies from 8 per cent in Uttarakhand to 18.62 per cent in Goa. It was suggested that the sales tax on these items should be reduced and rationalised to make them cheaper.

To ensure seamless travel between states, the central government asked the states to introduce zonal permits for levying the tourist transport tax and a quarterly or annual tax of Rs 25,000 or so may be paid by the tourist transport vehicles. The aim should be a single tax collection point for inter-state tourist vehicles to avoid unnecessary harassment and delay to the tourists.

This will enable the tourist transport operators to pay tax in the home state and carry the tourists without waiting for clearances at border crossings. The states may share the taxes based on a rational formula, like kilometres covered in each state.

The issue of seamless travel needs to be addressed urgently by northern states like Uttar Pradesh, Rajasthan, Delhi and Haryana in view of the Commonwealth Games next year.

Most of the states are now in the midst of their annual budget exercise and demand of tax cuts for the tourism sector is likely to be addressed, a state government official said.

Before that, the Empowered Committee of State Finance Ministers will deliberate on the issue.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
SEO Company Search Engine Optimization Company US SEO Local SEO Company Website SEO Company Alabama SEO Company Alaska SEO Company Arizona SEO Company Arkansas SEO Company California SEO Company Colorado SEO Company Connecticut SEO Company Delawa

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