Good News for all those who want to trade online on Webportals like Flipkart, Snapdeal or Amazon then you should have a Delhi VAT registration Number (TIN Number) and those who want to start their small medium Businesses.
As The Department of Trade and Taxes has made certain relaxations in its rules of granting Registration like No Surety is required to apply for registration.
You can apply for registration by following these steps.
1.Who can obtain registration
i. Individual (Proprietorship Firm)
ii. Person who want to trade online on ecommerce sites like Flipkart,Snapdeal etc.
iii. Partnership Firm
iv. Private Ltd. Company
v. Public Limited Company
vi. Government Company
vii. Government Deptt/Society/Club/Trust
viii. Hindu Undivided Family
2.How to Obtain Registration
Filing DVAT form online on http://dvat.gov.in/website/home.html
3.Fee charged by Government
i. For DVAT registration : Rs.1,000
ii. For DVAT + CST registration : Rs.1,025
4.Penalty if dealer fails to obtain DVAT registration
Where a person who is required to be registered under DVAT Act fails to apply for registration within one month from the day he is required to make application, then he shall be liable to pay penalty equal to Rs.1,000 per day from the date of default subject to the maximum of Rs.1,00,000.
5.Types of Registration Schemes
i. Composition Scheme : Dealer is required to pay DVAT at flat rate of 1% without claim benefit of Input Taxes Paid.
ii. Normal Scheme : : Dealer is required to pay DVAT at rates prescribeD i.e. 1%, 5%,12.5 & Dealer can claim benefit of Input Taxes Paid.
6.Documents required for DVAT registration
|PAN of Proprietor||PAN of Firm||PAN of Company|
|Identity Proof of Proprietor||Identity Proof of all Partners||Identity Proof of all Directors|
|Address Proof of Proprietor||Address Proof of all Partners||Address Proof of all Directors|
|Address Proof of Place of Business||Address Proof of Place of Business||Address Proof of Place of Business|
|Photograph of Proprietor||Photograph of all Partners||Photograph of all Directors|
7.ONLINE DVAT REGISTRATION PROCESS
STEP 1 – First of all visit website of DVAT Department using this URL.
Then go to New Registration Segment.
STEP2 – Fill this form very carefully as it is relevant for PAN verification by Department of Trade and Taxes.
i. Change in name of Firm/Company is not possible until registration certificate is sanctioned.
ii. For those who want to apply for TIN on the name of One Person Company.;Select Others in the Constitution of Business Dropdown.
iii. If you are requesting registration twice then temporary TIN will not be allotted to dealer.
iv. Once you have selected VAT registration, you cannot switch it to VAT+CST registration.
Once you fill this form, you receive an email from DVAT help desk.
STEP 3 – Your PAN verification may took 1 day and after which you will receive two mails from DVAT helpdesk.
Use Reference no as User ID and Password that you have received in third mail as specified in Step 3.
Now it require you to change your existing password to new password and approval password.
STEP 5 – Start filling registration form
If you have selected VAT+CST registration then you need to Fill DVAT-04 as well as CST-FormA.
STEP 6 – Upload the scanned requisite documents in PDF Format.
STEP 7 – Now it is the time for you to make payment of Court Fee either through online mode or offline mode.
Here is the updated list of Banks eligible to make DVAT payments.
Points that one should consider before starting filling online application.
⇐ Never try to submit forms in multiple attempts as it may block your access.
⇐ If OTP does not come in 5-10 minutes, then never try too many attempts otherwise Server may fail to accept all OTP’s.
⇐ Review form twice before submission, because once form is submitted further changes not possible until verification process completed by VAT Inspector.
⇐ No surety is required to apply for DVAT registration which was required earlier.
⇐ In case dealer already has a TIN allotted with same PAN or he has TIN anytime in past, then Temporary TIN will not be allotted to him immediately. Rather it will be allotted only after verification by VAT Inspector
⇐ Banquet Halls can apply for registration by filing form BE-2.
⇐ With Effect from 06.2015 E Commerce Portals like Flipkart,Snapdeal,Amazon etc are required to get themselves registered under DVAT Act through form EC-1 – [No.F.3(515)/Policy/VAT/2015/330-41].
Once your registration complete its not over, now you need to file DVAT Return on quarterly basis along with all its annexures even if you had not carried any transaction during the said quarter.
Non Filing may attract penalty of Rs.400 per day and Registration Certificate might be cancelled by VAT Officer.
In case annexure 2A & 2B filed by the dealer is mismatched in department’s record then it may results in payment of Penalty of higher of Rs.10,000 or DVAT amount.
Please Note that the Department of Trade and Taxes has recently issued a new annexure 1E on 29.12.2015 which every dealer who trade in goods using E Commerce Portals like Flipkart,Snapdeal etc is required to file at the time of furnishing his DVAT return.
Non Filing may attract penalty of Rs.50,000.
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