Pavan JayaprakashPavan Jayaprakash

♠ As the Central Government of India had indicated that GST could be implemented from 01.04.2016. State Government to take necessary steps to prepare Trade and Industry and department for smooth transition to Goods and Services Tax (GST) System.

Relief under VAT:

♠Increase in registration limit from Rs.7.5 lakhs of annual turnover to Rs.10 lakhs.

♠Tax reduction from 14.5% to 5.5% on Wick stoves, Mobile phone charger, M-sand, M-sand manufacturing machinery/ equipment, Industrial cables.

♠Exemption to certain Solar PV Panels and Solar Inverters from VAT to promote solar energy generation.

Increase in tax rate:

♠ VAT on Cigarettes, Cigars, Gutkha and other manufactured tobacco hiked from 17% to 20%.

♠ Sales tax rate increased by 1% on Petrol and Diesel.

Rationalization Measure:

  • Provision to be made for single First appeal against re-assessment for several tax periods of one financial year.
  • Period of disposal of appeals KAT enhanced from current 180 days to 365 days from the date of stay order.
  • Section 10 of KVAT Act, 2003 to be amended to allow claiming of input credit for a period of 5 months from the month in which it has accrued.
  • Online filing of appeals against order or proceeding under any KVAT Act.
  • Online uploading of the orders by Appellate Authority before issuing the same to dealers.
  • Details of statutory forms uploaded would be linked to turnover declared in returns and this would avoid production of these forms at multiple places by dealers.
  • As per section 16 of KVAT Act, 2003. Permission for Availing special accounting scheme now under sakala with 1 month time limit.

Professional Tax:

♠ Profession Tax exemption to senior citizens who have attained age of 60 years and above.

♠ Persons drawing salary less than 15000 exempted from Profession Tax.

Stamps and Registration:

♠ Online time slot booking for registration of documents in any of the sub-registrar’ offices in the district.

♠ Levying of 1% advalorem registration fee on the market value of the property or the consideration whichever is higher, in respect of agreement for sale, wherein the possession of the property is delivered or is agreed to be delivered and 1% advalorem registration fee in respect of document of sale executed in pursuance of such agreement for sale, subject to a maximum of Rs.500/-·

♠ Optionally registrable documents affecting immovable property will be required to be compulsorily filed online under section 89 of Registration Act, 1908.

♠ Levying stamp duty on Limited Liability Partnership instruments.

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Tags : Budget (1473) Budget 2015-16 (272) goods and services tax (2807) Pavan Jayaprakash (3) Vat (165)

0 responses to “Karnataka State Budget 2015- Tax and Stamp Duty Changes”

  1. bhambore says:

    If self employed person is 68 old in the year 2015 Novemeber but 65 years old in the year 2012 november. Neither registered under karnataka profession tax act nor paid the profession tax. Whether 65 years age exemption can he sited for not registering and paying profession tax in the year 2015-16 and earlier years.
    please clarify whether liable to pay profession tax for earlier years after considering the following
    Points relating to the above case

    1)he paid the profession tax on salary till financial year 2008-09
    2)he was holding certificate of practice but not in practice
    3)he attained 65 years on november 2012
    4)he had profession income in that year and not earlier years
    5)can he claim 2 years exemption from the financial year 2012-13
    6) he is not registered and not paid profession tax

  2. RAJ says:

    I want to know if the service tax rate for tyres and tubes sold to agriculture vehicles like tractors is 14% or 5.5%

  3. darshan says:

    Please let us know the notification or circular No: with reguard to Exemption to certain Solar PV Panels and Solar Inverters from VAT to promote solar energy generation. and date of its effect. as per the Information available as on date said exception from tax was only a Proposal in the budge.

  4. manoj jain says:

    Double tone milk vat requirment

  5. Girish says:

    sir we are stated a business in 2oo2 with 2 partners A & B AND WE ARE ADMITED 2 MORE PARTNERS B & c but now we r desided to retire A and B my quation is can C &D can contineu the firm with same tin no.

  6. Manish says:

    Dear Sir,

    As per Section 4(1)(a)(ii) of Karnataka value added tax act read with Third Schedule goods taxable at four Percent item No-34

    Here KVAT rate was applicable at 5.5% on industrial cables namely high Voltage cables, XLPE Cables, Jelly filled cables and optical fibers.

    further in the Budget it say as follows:-

    Reduce rate of VAT to 5.5% on Industrial Cables namely, High Voltage Cable, XLPE Cables, Jelly Filled Cable, Optical Fibre Cable and PVC Cable conceding the long pending request of Electrical Industry.

    Hence request you to kindly explain us the following:-
    1.under which section or schedule earlier it was 14.5%
    2. What is the meaning of word “conceding the long pending request of Electrical Industry”

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