Goods and service Tax News, Articles and Notification

Market experts are pitching for clarity in tax on long-term gains under the proposed DTC, a clear timeline for rolling out Goods and Services Tax among other key measures in the upcoming 2011-12 budget.Stock markets in February so far have plummeted by over 11 per cent on concerns over high inflation, rising interest rate and, low morale and confidence of the investors due to uncertainty caused by a series of high-profile scams. Full Article

Punjab and Haryana High Court in a recent case namely Tata Sky Limited v State of Punjab and another has held that levy of entertainment duty on providing entertainment by broadcasting signals on TV sets is intravires of the powers of the State Legislature. The Petitions of TATA Sky Limited challenging the levy of entertainment duty under Punjab Entertainment Duty Act 1955, has been dismissed. Full Article

The Empowered Committee of State Finance Ministers (EC) met on 11 February 2011 to discuss the third draft of the Constitutional Amendments required for introduction of GST (the Third Draft) and the compensation plan for loss of revenue on account of Full Article

With consensus still eluding the proposed Goods and Services Tax regime, the Centre may call for another meeting with state finance ministers next month, before introducing the Constitutional Amendment Bill to pave the way for rolling out GST. Full Article

If we simply speak on tariff, market access in services is relatively easy compare to goods as there are no tariff barriers on services. WTO Agreements place only quotas and regulations on services and not the tariff. Annexure 1B of WTO Agreements - General Agreement of Trade in Services (GATS) broadly covers four modes of services in Article I as Scope and Coverage as follows Full Article

Tax by State Governments on sales or purchase of goods made during the course of import or export of such goods is prohibited by article 286(1)(b) of the Constitution of India. Section 6(1) of CST Act also levies tax on interstate sales hence there i Full Article

Section 8(6),8(7) and 8(8) of the CST Act deals with the exemptions available to a SEZ unit or SEZ developer from CST. When goods are sold to a SEZ unit or SEZ developer then no CST is payable by such unit or developer as per the above sub sections subject to fulfillment of certain conditions. The conditions and forms relating to such exemption are provided as follows for the benefit of all concerned. Full Article

The Government today approved Rs 7,029 crore compensation to states for the losses they suffered due to reduction in central sales tax (CST) rate in 2010-11.The Union Cabinet , chaired by Prime Minister Manmohan Singh , has approved a proposal for pr Full Article