CA Umesh Sharma

Karnit : “Be Alert! Border Check Post by Sales Tax Department of Maharashtra is here”

Arjuna (Fictional Character): Krishna, In Maharashtra 32 New Check Post have been constructed, it means that on Maharashtra border every Inward and Outward movement of goods will be examined. Will it increase difficulties & problems of business people? Kindly give us brief information and reasons behind introduction of Check Post.

Krishna (Fictional Character): Arjuna, There is nothing new in it, many states such as Gujrat, Kerala, Tamil Nadu, etc. are having check post since many years. Tax Collections have increased considerably as well as Tax Evasion is reduced to a large extent in states implementing Check Post system. As compared to other States Maharashtra was lacking behind. Although Late but Maharashtra Government has realized this & are likely to introduce Check Post.

Arjuna: Krishna, when will be the check post rule applicable?

Krishna: Arjuna, Sales Tax Department of Maharashtra has published proposed “Border Check Post Rule” & Further suggestions are invited from business people upto 25th July 2014. Thereafter these rules are likely to be made applicable.

Arjuna: Krishna, To whom will be the Check Post Rule applicable and How will they be Implemented?

Krishna: Arjuna, Listen carefully ! Border Check Post Rules are applicable to every person who brings in the goods from outside Maharashtra or who Sends goods to person outside Maharashtra. Further these Rules are also applicable to transporter who transports these goods.

1)      Person who receives / purchases goods from outside Maharashtra is required to upload “Form 901” (E-Way Bill “Inward”) on www.mahabcp.in website. For uploading the form one has to get register on the website. For Example – If a person of Maharashtra purchases goods from Gujrat then the purchaser i.e person of Maharashtra has to upload“Form 901” (E-Way Bill “Inward”).

2)      Similarly person of Maharashtra who sends/ sells goods outside Maharashtra, then the seller has to upload“Form 902” (E-Way Bill “Outward”).

3)      These Rules are applicable to transporter of Goods also. Every Transporter while bringing goods in Maharashtra or taking goods outside Maharashtra has to upload “Form 903”.

4)      If the Goods while being in transit pass through Maharashtra, For e.g Goods are transported from Gujrat to Andra Pradesh & while such movement of goods, they pass through Maharashtra then the Transporter has to upload “Form 904” (“Transit Pass”).

5)      After Examination of every consignment and E-waybill on Border check post, goods can be removed from/brought In Maharashtra.

Arjuna: Krishna, What are the details to be furnished in the “E-Waybill”?

Krishna: Arjuna, In this “E-Waybill”, Person who Sends or Bring goods has to furnish TIN number (If Registered under MVAT) and Unregistered person has to furnish PAN, TAN or Aadhar card (any one) along with Name of Business Entity, Address, Phone number, E-mail ID, Details of goods, Transaction type i.e Import, OMS Purchase / Sales, Export, Goods Return, Branch Transfer, Job Work, etc. Further Expected date of entry/exit of goods in/out Maharashtra, details of Goods i.e Quantity, Price, Weight, Taxable or Exempted, Full Name of Transporter, Lorry/Truck number, Lorry receipt number etc. information is required to be uploaded.

Transporter of Goods is required to furnish information such as, Details of goods transported, Driver’s name and License number, Details of purchaser and seller, Details of truck/lorry, etc. Hard copy of all these documents should be carried along with and produced at check post.

Arjuna: Krishna, What are the Rights & Duties of Check Post Officer?

Krishna: Arjuna, Check Post Officer can examine the consignment & make correction in “E-Waybill”. If incorrect details are furnished officer is entitled to issue notice in “Form 905”. Complete consignment can be seized in case of fraud and misleading information. Further this shall be intimated to Sales Tax Department, RTO, etc. So, all Business Entities and Transporters are required to furnish True and correct information.

Arjuna: Krishna, what if goods are brought in or sent out for Personal Use?

Krishna: Arjuna, as per Check Post Rules, If Goods are brought in or sent out for Personal use E-Waybill is not required to be uploaded. Further, where an individual purchases the goods from outside the state not for business purpose, the consignor of the goods, who is an business entity shall upload the “E-Waybill”. For Example – Goods purchased from Flipkart.com for personal use in such case the seller i.e Flipkart will upload the “E-Waybill”.

Arjuna: Krishna, What business men should learn from these New Check Post Rules?

Krishna: Arjuna, All goods transported from/to Maharashtra by any means of Transport viz. Air, Water, Railway or Road will come under the purview of these Rules. This will provide all information to government in Electronic/computerized form. Neither Purchaser nor Seller will be able to hide any information. Transporter is also required to maintain proper records. This will help in reducing tax evasion. All the departments including Income Tax, Sales Tax, Excise, Service Tax etc. will get all the required information easily. Dealers will have to be careful while applying for C/F/H Form. Continuous surveillance through CCTV cameras will reduce crime. Thefts of goods and vehicles will also be reduced. More than 200 crores of Rupees have been invested in implementation of these check posts. Business people will be burdened with additional law compliance, but this will benefit the law followers, because earlier those who did not comply the law were able to sale their goods at comparatively lower rates than those who complied it. This will help in making business more transparent which will be beneficial for one and all !

Dear Taxguru lovers, your valuable comments please on this important matter.

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26 responses to “Be Alert! Border Check Post by Sales Tax Department of Maharashtra is here”

  1. shilanand Bina Kanteela says:

    if the officer receive bribe and allow heavy loaded vehicle without charging fees from him what action may be taken against such officer

  2. ganesh says:

    what is transport ID ? who is allot the Transport ID & what is the procedure?

  3. hemant garg says:

    any one plz share abt the full detail of gujrat transit pass form no.405. I.e what is the process. who can uplod. for all type of goods it is applicable and what abt personal goods. etc

  4. Jigar says:

    Nice Information

  5. shah says:

    no registration for personal use..strange.
    All laws are to haress small scale dealers,
    my question to govt is why so easy and transparent rules with less penalty for online sellers like snapdeal and flipkart?

  6. JIGAR MAJETHIA (@jigarthakkar180) says:

    Nice Artical

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