CA Manish Garg

2 Years back an amnesty scheme was introduced in the union budget related to service tax, where the defaulter can show their undisclosed turnover of service and pay service tax accordingly without the payment of interest and penalty. In similar way the Rajasthan government has vide Notification No. F. 12(16)FD/Tax/2009-188 Dated 09th February 2015 introduced an amnesty scheme related to the outstanding demand of tax, where the dealer/ person can save the interest and penalty on the taxes imposed by the government.

The scheme shall apply to the dealer/person who is having the outstanding demand upto rupees five crores under:

  • Rajasthan Sales Tax Act, 1954
  • Rajasthan Sales Tax Act, 1994
  • Rajasthan value Added Tax, 2003
  • The Central Sales Tax Act, 1956.

Similar like sellers give some benefits as a scheme to attract the customers, the department has given the below mentioned benefits to the dealers/person to attract towards this net:

1. If the demand is related to evasion or avoidance of tax or misuse of declaration forms/ certificates or unaccounted goods or goods/ vehicle in transit then the dealer can have the benefit as 80% of the interest potion and 75% of penalty portion levied by the department by depositing rest of the amount with the department and further if the matter is pending before any appellate authority then he needs to withdraw the case and submit the proof of the same accordingly.

2. If the demand is comprises only of the interest then the dealer can have the benefit as 85% of the interest potion levied by the department by depositing rest of the amount with the department and further if the matter is pending before any appellate authority then he needs to withdraw the case and submit the proof of the same accordingly.

3. If the matter is not covered under the points mentioned above then the dealer can have the benefit as 80% of the interest potion levied by the department by depositing rest of the amount with the department and further if the matter is pending before any appellate authority then he needs to withdraw the case and submit the proof of the same accordingly.

Applicability of Scheme

The scheme is applicable for the dealers whose demand has been created on or before 31st March 2011 or the demand is under dispute and case have been filed by the applicant or by the department on or before 31st December, 2013, which are pending before any court, tax board or Appellate Authority.

Subject to the condition mentioned above if the dealer has been permitted to pay demand in installments then scheme is applicable when all the installments, which have become due at the time of filing of the application under the scheme, have been deposited by the dealer/ person.

Procedure for Availing benefit

1.      To avail the benefit under the scheme, the applicant shall submit an application in Form AS-I to the assessing authority, along with the details of deposit of tax and /or penalty and/or interest, as the case may be, and proof of withdrawal of case from the concerned Appellate Authority, if any upto 31.03.2015.

2.      The assessing authority shall on receipt of the application, verify the facts mentioned in the application and on being satisfied, shall complete the Form AS-II.

3.      The Assessing Authority shall also reduce the outstanding demand of penalty and /or interest, as the case may be from Demand and Collection Register.

4.      Where the case of prosecution has been filed by department under clause (d) of sub-section (1) of section 67 of Rajasthan Value Added Tax Act, 2003 or any provisions of the Act repealed by the said Act and the applicant has deposited the amount as required under this scheme, on being satisfied, the Assessing authority shall proceed to withdraw the case from the court.

5.      The assessing authority shall forward the copy of form AS-II to the concerned Deputy Commissioner (Administration) and he shall also forward the copy of form AS-II to the commissioner, in the cases where the amount is above Rs. Five lacs.

Download Related Notification No. F. 12(16)FD/Tax/2009-188 Dated 09th February 2015

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One response to “VAT Amnesty Scheme in Rajasthan”

  1. ramneek singh says:

    hi
    is anmesty scheme still available..? i think it should be till march 17.
    please reply on my mail

    thank you

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