TRADE CIRCULAR
Date: 4th July, 2009
No. VAT/ AMD-1009/IA/ ADM-06
Trade Cir. 21T of 2009
Sub : Waiver of penalty in certain cases for non-filing of return within prescribed time.
Ref. : 1. The Budget Speech delivered by Hon’ble Finance Minister on 4th June 2009.
2. Trade Circular No.3 T of 2009 dated 23rd January, 2009.
3. Trade Circular No.4 T of 2009 dated 23rd January, 2009.
Gentlemen/Sir/ Madam,
Hon’ble Finance Minister in his Budget Speech delivered on 4th June 2009 has made an announcement regarding the waiver of penalty for non-filing of the returns within prescribed time to the certain dealers who have enrolled at the Sales Tax Departments web-site: in order to avail various e-services. The relevant part of the Budget speech is reproduced as under:-
2) Para 4:- “………… ….. I am glad to inform the Hon’ble members that Maharashtra is the first State to get tax returns in large numbers electronically from all dealers. The dealers, the trade associations and tax practitioners have greatly contributed to this and deserve to be congratulated. In the backdrop of their valuable cooperation, I hereby declare that the dealers who having enrolled themselves for e-services on the department’s web-site, file all their returns for all the periods from 1st April 2005 to 30th June 2009 on or before 31st July 2’009 electronically, shall not be liable for penalty for delay in filing of returns. However, this will not be applicable to cases where penalty has been already paid.”
3) You are well aware that scheme of filing returns electronically was implemented in a phased manner. It is now mandatory for every dealer to file returns electronically.
4) In view of the announcement made by the Hon’ble Finance Minister in his Budget Speech, it is decided that,-
(a) if the dealers who have not filed one or more returns for the periods starting on or after 1st April 2005 and ending on 30th June 2009, file all such pending returns electronically along with the due payment with interest on or before 31″ July 2009 then penalty for late filing of returns will not be levied.
(b) in the cases where for the period starting on or after 1st April 2005 and ending on 30th June 2009, if penalty is imposed and recovered, then dealer will not be entitled for the refund of such amount.
(c) In case where the penalty has been already levied for non filing of returns but the same has not been paid by the dealer, it will not be recovered if the dealer files all his pending returns electronically with payment of tax and interest up to 31st July 2009.
(d) Where the penalty is already levied and the dealer has filed an appeal against the said penalty order, then the said penalty or part of the penalty outstanding shall not be recovered if the dealer files all his returns upto 31st July 2009 along with payment of tax with interest. The dealer must however, withdraw the appeal, against such order unconditionally before availing this benefit. The part payment made in appeal shall not be refunded.
5) It is hereby clarified that the dealers who have already filed returns for the period starting on or after 1″ April 2005 and ending on 30th June 2009 shall not again be required to file such returns electronically. But it may please be noted that if required they will have to produce the proof of filing these returns.
6) Needless to state that the dealers who do not file the pending returns for the aforesaid periods on or before 31st July 2009, shall be liable for penalty as per the provisions of sub-section (8) of section 29 and also recovery of such penalty amount. In other words penalty amount will not be waived if dealer fails to file the pending returns electronically on or before 31″ July 2009.
7) This circular cannot be made use of for legal interpretation of provisions of law as it is clarificatory in nature. If any member of the trade has any doubt, he may refer the matter to this office for further clarification.
8) You are requested to bring the contents of this circular to the notice of the members of your association.
Yours faithfully,
(Sanjay Bhatia)
Commissioner of Sales Tax
Maharashtra State, Mumbai.
if assessee has not file a M Vat Audit in perscibe time. how will be panalty for non filing of Form 704 in perscribe time