inter state

The Centre has suggested setting up a common dispute resolution scheme for settlement of cases in the proposed goods and services tax (GST). It is also suggesting sharing of service centres between the Centre and states, besides common registration facilities for traders. "It is proposed to prescribe a common registration form, common registration number, common return format, common service centres for acceptance of registration applications and return for Central GST .. Full Article

India Inc on Tuesday asked Finance Minister Pranab Mukherjee to introduce Goods and Services Tax "as early as possible", amid speculations that the indirect tax reform may not be implemented from the scheduled date of April 1. "We want that the GST deadline should not be missed," Ficci president Harsh Pati Singhania told reporters after a pre-budget meeting with Finance Minister Pranab Mukherjee along with other industrialists here on Tuesday. Full Article

These recommendations differ considerably from the model and structure of the GST envisaged by the Empowered Committee of State Finance Ministers (EC) as described in the First Discussion Paper released by the EC on 10 November, 2009. The differences relate to several critical areas such as the tax base, tax rates, threshold limits, taxation of inter-State supplies of goods and services, exemptions/ compounding schemes and taxation of alcohol, tobacco and petroleum produ.. Full Article

The Discussion Paper has envisaged a model of dual GST which has got certain structural defects that need to be pointed out for correction before the second Paper comes out. The proposed GST is an under achievement compared to the professed idea of a conceptually correct GST. It is an imperfect GST which has four rates with probably numerous exemptions, four thresholds, several taxes outside GST, a highly complicated system for inter-State credit of input tax and finally.. Full Article

The Delhi government's proposal to hike value added tax (VAT) from 4% to 5% is seen running counter to the Centre's move to introduce the goods and services tax (GST) in a bid to bring about uniformity in the tax structure. The Sheila Dixit-led government's announcement came after tax collection for last fiscal came in at Rs 11,175 crore, down from Rs 13,000 crore the previous fiscal. Full Article

Q.1 The amended section 6A of CST Act, 1956 requires the transferor branch to obtain ‘F’ form from the transferee branch and on failure to obtain the same the transaction is presumed to be sale. Whether such amendment can be said to be constitutionally valid, as it may amount to levy of tax on Consignment? Full Article

Under entry 92A of List I of the VII Schedule to the Constitution of India, the Parliament of India has the exclusive right to impose tax on sale or purchase of goods other than newspapers where such sale or purchase takes place in the course of inter-State trade and commerce. Article 269 of the Constitution of India authorises the Parliament to formulate principles for determining when a sale or purchase or consignment of goods takes place in the course of inter-State t.. Full Article

After amendment to the constitution by inserting Article 366(29A) providing definition of the term “taxes on sale or purchase of goods” to include deemed sales, States were empowered to levy tax on sale or purchase of goods involved in execution of works contracts. However, the power of States to levy tax on deemed sales including works contract sales are subject to restrictions contained in Article 286 of the Constitution of India. Under Article 286 State has no pow.. Full Article