First Stage Tax on some items in Punjab from 1st March

Punjab Govt had introduced Tax on First Stage on certain items in Punjab w.e.f. 1st January 2014. No. of new items has been added to the List of items taxable on First Stage. Such items will be tax free for wholesaler, distributor, retailer stage if tax has been paid in Punjab by Manufacturer or Importer in the state of Punjab.

These items are : All types of Televisions, Refrigerators, Washing Machines, Microwave ovens, Oven Toaster Grillers (OTGs), Home Theatres, Air Conditioners, Music Systems including CD players, VCD players, DVD players, ROs and Water Purifiers, Geysers;
Kitchen Appliances like sandwich makers, tea/coffee makers, juicer mixer grinders (JMGs), electric chimneys, electric fryers;
Cold Drinks, Mineral Water;
Personal Care Products like Soaps, Shampoo, Tooth paste, Powder, oils, etc. branded or packaged food products such as chips, wafers,
chocolates, toffees, ice creams, etc. ;
Processed Fruits & Vegetables, Branded Snacks, Branded Honey, Branded Atta Maida Suzi Besan;
Desi Ghee, Edicle Oil, Tea, Coffee,;
Drugs & Medicines, etc., etc. 

The rates on these items has also been increased.
Firrst Stage Tax on the newly added items will be applicable from 1st March, 2014.

This move has been introduced by Punjab Govt. to reduce tax evasion and to increase the revenue of the Punjab Government.

Punjab Govt introduces First Stage Tax on some items

Punjab Government has introduced Tax on First Stage of Production or import in the state, on some of the items. This is against the concept of VAT where tax is levied on the value addition on each stage. The Notifications are below:

GOVERNMENT OF PUNJAB

DEPARTMENT OF EXCISE & TAXATION

(EXCISE AND TAXATION-II BRANCH)

NOTIFICATION

The 13th December, 2013

S.O.116/P.A8/2005/S.8/2005/S.8/2013 - Whereas the State Government is satisfied that circumstances exist, which render it necessary to take immediate action in public interest;

Now, therefore, in exercise of the powers conferred by sub section (3) of section 8 of the Punjab Value Added Tax Act, 2005 (Punjab Act No. 8 of 2005) and all other powers enabling him in this behalf, the Governor of Punjab is pleased to effect from 1st January, 2014, by dispensing with the condition of previous notice, namely:-

AMENDMENT

In the said Schedule 'A', after serial No.85, the following serial No. 86 to 91 and the entries relating thereto, shall be added. These commodities shall be tax free at the wholesaler or distributor or retailer stage provided that tax has already been paid at the first point of sale i.e manufacture or first importer's stage.

Sr. No        Commodity Name
86               All types of Televisions, Refrigerators, Washing Machines, Microwave ovens,
                   Oven Toaster Grillers (OTGs), Home Theatres, and Air Conditioners
87               Kitchen Appliances like sandwich makers, tea/coffee makers, juicer mixer
                   grinders (JMGs), hand blenders, electric rice cookers, electric tandoors,
                   induction cook tops, electric chimneys, electric fryers
88               Cold Drinks (Aerated Drinks)
89               All types of personal care products such as deodorants, shaving products,
                   beauty soaps, shampoos, hair oil, conditioners, serums, hair care
                   products, tooth pastes, hand wash, body wash, beauty products, hair
                   gels, bathing gels, talcum powders, creams, anti-persiprants, petroleum
                   jellies, baby care products, skin care lotions and after shaving lotion
90               All types of soaps and detergents such as washing bars and soaps, fabric
                   softeners, bleach, gentle wash, dish wash, color care, Neel
91               All types of branded or packaged food products such as chips, wafers,
                   chocolates, toffees, ice creams, Corn Flacks, pasta, macroni, biscuits,
                   frozen desserts, frozen products, meal makers, instant soups , instant
                   noodles, ready to eat products, namkeens, custard powder, snacks,
                   bakery products, baby foods etc.

D.P. REDDY,

Financial Commissioner Taxation and

Secretary to Government of Punjab,

Department of Excise and Taxation.

GOVERNMENT OF PUNJAB

DEPARTMENT OF EXCISE & TAXATION

(EXCISE AND TAXATION-II BRANCH)

NOTIFICATION

The 13th December, 2013

NO S.O 117/P.A.8/2005/S.8/2013- Whereas the State Government is satisfied that circumstances exist, which render it necessary to take immediate action in public interest;

Now, therefore, in exercise of the powers conferred by sub section (3) of section 8 of the Punjab Value Added Tax Act, 2005 (Punjab Act No. 8 of 2005) and all other powers enabling him in this behalf, the Governor of Punjab is pleased to effect from 1st January, 2014, by dispensing with the condition of previous notice, namely:-

AMENDMENT

In the said Schedule 'E', and the entries relating thereto, shall be added. These commodities shall be taxable
at the first point of sale i.e manufacturer or first t the rates specified against these entries in the Table given below, namely:-
Sr. No   Commodity Name                                                        Rate of Tax
15         All types of Televisions, Refrigerators, Washing Machines,
             Microwave ovens, Oven Toaster Grillers (OTGs), Home Theatres,
             and Air Conditioners
                                                                                               14.5 per cent
16         Kitchen Appliances like sandwich makers, tea/coffee makers,
             juicer mixer grinders (JMGs), hand blenders, electric rice cookers,
             electric tandoors, induction cook tops, electric chimneys, electric
             fryers
                                                                                              14.5 per cent
17         Cold Drinks (Aerated Drinks)                                    22.5 per cent
18         All types of personal care products such as deodorants, shaving
             products, beauty soaps, shampoos, hair oil, conditioners, serums,
             hair care products, tooth pastes, hand wash, body wash, beauty
             products, hair gels, bathing gels, talcum powders, creams, antipersiprants,
             petroleum jellies, baby care products, skin care
             lotions and after shaving lotion
                                                                                            14.5 per cent
19         All types of soaps and detergents such as washing bars and
             soaps, fabric softeners, bleach, gentle wash, dish wash, color
             care, Neel
                                                                                           14.5 per cent
20        All types of branded or packaged food products such as chips,
            wafers, chocolates, toffees, ice creams, Corn Flacks, pasta,
            macroni, biscuits, frozen desserts, frozen products, meal makers,
            instant soups, instant noodles, ready to eat products, namkeens,
            custard powder, snacks, bakery products, baby foods etc.
                                                                                          14.5 per cent

D.P. REDDY,

Financial Commissioner Taxation and

Secretary to Government of Punjab,

Department of Excise and Taxation.

Punjab VAT Public Notice reg online Quarterly Returns for 3rd Quarter

GOVT OF PUNJAB EXCISE & TAXATION DEPARTMENT PUBLIC NOTICE ATTENTION: DEALERS/ ADVOCATES/ CHARTERED ACCOUNTANTS E-FILING OF QUARTERLY RETURNS FOR THE THIRD QUARTER (Q3)                The quarterly returns for the third quarter (Q3) for the financial year 2012-13 is due on 1st January 2013. It is hereby informed that the  Excise and Taxation Department is planning a  new web portal and a new format to file quarterly returns. Therefore, dealers/ advocates / chartered accountants are advised not to prepare the Q3 returns in the earlier formats or VAT forms. 2.0                It is however clarified that  the tax due for the third quarter must be duly  deposited by the tax payer  in the State treasury on or before the due date.Failure to deposit the tax due shall result in appropriate action as prescribed in Punjab VAT Act,2005 and Punjab VAT Rules 2005. 3.0      It is also informed that  the web portal and new formats for filing quarterly returns are likely to be finalized by Jan 1st,2013.However,if there is any delay then sufficient  time of one month  shall be given to all  dealers/ advocates / chartered accountants to  file Q3 returns. 4.0      In the case of any clarification/ observations / queries you may write to additionalexcise@yahoo.com  or call on the following numbers 98729-10004 and 9872910007.     A.Venu Prasad                                                      Excise & Taxation Commissioner,                                                                            Punjab.

Punjab VAT Annual Return VAT-20 to be filed online

PUBLIC NOTICE

EXCISE AND TAXATION DEPARTMENT, PUNJAB

ATTN: ALL DEALERS, ADVOCATES AND CHARTERED ACCOUNTANTS

1. It has been decided that the Annual VAT Returns for the year 2011-12 will be received in form VAT-20 online through the e-Return module being implemented by the Excise and Taxation Department, Punjab. All concerned are requested to note that the annual return will now be filed from 1st December 2012 to 31st December 2012. “No manual return in form VAT-20 will be received in the offices of the Excise and Taxation Department after 31th October 2012.”

2. The annexures which are to accompany the VAT-20 shall be submitted after filing of the return to the respective AETCs in-charge of the district. The annexures must be accompanied by the system generated acknowledgment of e-Return. The last date for this activity shall be 4th January 2013.

3. Those dealers who have already filed their returns for this period to their respective AETC need not file again.

4. The procedure for e-filing the Annual VAT returns will be the same as the procedure prescribed for e-filing of the quarterly returns. The facility shall be available on the Department’s website www.pextax.com from 01.12.2012. For any queries, please visit department’s website or contact officials on Mobile Number 98729-10004 or 98729-10044.

Excise and Taxation Commissioner,

Government of Punjab

Last Date to Deposit Institutional Tax is 31st August

   PUBLIC NOTICE

EXCISE AND TAXATION DEPARTMENT, PUNJAB

Deposit of Institutional Tax

          ATTENTION:-OWNERS/OCCUPIERS OF BUILDINGS / INSTITUTIONS LOCATED OUTSIDE NAGAR PANCHAYAT/MUNICIPAL COUNCIL/MUNICIPAL CORPORATION LIMITS.

                                 The Institutional Tax due upon owners/occupiers of institutions and buildings located out side Nagar Panchayat/Municipal Council/Municipal Corporation limits is to be paid in the respective authorized banks in the districts, where such premises is located. The last date for the payment of tax for the financial year (2010-2011 for February and March months) and for the current financial year 2011-12 is 31.8.2011.

                                 A failure to deposit tax on the part of owners/occupiers of institutions and buildings shall attract a penalty u/s 8 of the Punjab (Institutions and Other Buildings) Tax Act, 2011 at the rate of 2% per month after due date in addition to the tax due.  A notice with regard to levy and collection of Institutional tax has already been published in the newspapers on 10.6.2011. The details are available on Department's website www.pextax.com.

                                 For any query please contact 98729-10004 or 98729-10013.

                                                                                       A.VENU PRASAD, IAS

                                                            EXCISE & TAXATION COMMISSIONER 

                                                                                                PUNJAB                     

Punjab VAT Notification for Payment of Surcharge

GOVERNMENT OF PUNJAB

DEPARTMENT OF EXCISE AND TAXATION

(EXCISE AND TAXATION II BRANCH)

Notification

The 20  June,  2011

No. G.S.R..     /P.A. 8/2005/S.70/Amd.(  )/2011- , In exercise of the powers conferred by sub-section (1) of section 70 of the Punjab Value Added Tax Act, 2005 (Punjab Act No. 8 of 2005), and all other powers enabling him in this behalf, the Governor of Punjab is pleased to make the following rules further to amend the Punjab Value Added Tax Rules, 2005, namely :- 

RULES

1.         (1) These rules may be called the Punjab Value Added Tax (          Amendment)  Rules, 2011.

            (2)  They shall come into force  on and with effect from the date of their publication in the official gazette.

2.         In the Punjab Value Added Tax Rules,2005 (here-in-after referred to as the said rules), in rule 37, after sub-rule (2), the following sub-rule shall be inserted, namely:-

             "(2A) Eighty percent of the additional tax payable under section 8B of the Act shall be made in the challan form VAT-2 and  twenty percent shall be made in the challan form VAT-2B.These forms shall be available free of cost at the District Excise and Taxation offices"

3. .....

For downloading complete text of Notification and New Form VAT-2B, click here

http://www.scribd.com/doc/58464124/Notification-20-June-2011-Form-VAT2B-Surch

Punjab VAT Public Notice regarding uploading of Information by Delaers

PUBLIC NOTICE

   EXCISE AND TAXATION DEPARTMENT, PUNJAB

ATTN:- TAXABLE PERSONS,ADVOCATES,CHARTED ACCOUNTANTS, COST ACCOUTANTS.

                          At present, the information regarding goods being brought into and moving out of the state of Punjab (Inter-state transactions) is furnished at the Information Collection Centers (I.C.Cs)/ Check Posts by the dealers and consumers. Now, this process of collection of information from dealers will be extended to intra-state transactions also (within Punjab) i.e. goods moving from one part of the State to other part. Hence, all the dealers making intra-state transactions shall compulsorily upload the information about the goods on the department’s website i.e. www.pextax.com before leaving the vehicle from the premises of a dealer. It shall be in the form of a self-declaration format/Performa; which shall be prescribed shortly by the department.

This compulsory declaration will be applicable for all the transactions whose value is in excess of Rs. 2,00,000/- for one single bill, except for the following commodities:

1)    Iron & steel.

2)    Cotton bales and yarn

3)    Edible oils

4)    Timber

5)    Marble

6)    Tiles of all kinds.

The compulsory declaration for the above-mentioned six commodities will be applicable for the transactions whose value is in excess of Rs. 20,000/- for one single bill.

All persons making such transactions shall necessarily upload the required information in the Performa prescribed by the department. This will be mandatory w.e.f. 1.6.2011. The details regarding forms, methodology and other related information will be placed on department’s website:  www.pextax.com.

Hence, all the dealers are requested to make necessary arrangements for uploading the forms i.e. required computer with internet connection and a printer along with the technical manpower. Similarly, all the concerned dealers, for whom it relates, are advised to take username/password from the concerned district AETC.

       

For any query or details, pl. contact, 98729-10007, 98729-10044

EXCISE & TAXATION COMMISSIONER

                                                                                             PUNJAB, PATIALA

Punjab VAT Notification for Reversal of ITC if goods sold below purchase price

GOVERNMENT OF PUNJAB

DEPARTMENT OF EXCISE AND TAXATION

(Excise and Taxation II Branch)

NOTIFICATION

The 8^th November 2010

NO. G.S.R.     /P.A.8/2005/S.70/Amd.(   )/2010- In exercise of the powers conferred by sub-section (1) of Section 70 of the Punjab Value Added Tax Act, 2005 (Punjab Act No. 8 of 2005), and all other powers enabling him in this behalf, the Governor of Punjab is pleased to make the following rules, further to amend the Punjab Value Added Tax Rules, 2005 , namely:-

RULES

1.             (1)  These rules may be called the Punjab Value Added Tax (_______ Amendment) Rules, 2010.

 (2)      They shall come into force on and with effect from the date of their publication in the Official Gazette.

2.        In the Punjab Value Added Tax Rules, 2005 in rule 21, after sub-rule (2), the following sub rule shall be inserted, namely :-

            “ (2-A)         Input Tax Credit shall be allowed to a taxable person to the extent of tax payable on the resale value of goods or sale value of manufactured/ processed goods where such goods  by the taxable person are sold at a price,-

       (i)           Lower than purchase price of such goods in the case of resale; or

(ii)                 Lower than Cost price in the case of manufactured/Processed goods; and in such cases the balance Input Tax Credit (ITC) shall be reversed by the taxable person.”

        SHIVINDER SINGH BRAR

                                                                    Financial Commissioner Taxation and 

        Secretary to Government of Punjab

                                                                    Department of Excise and Taxation

Entry Tax imposed on new items, Rate changed on existing items by Punjab Government

The Punjab Govt has imposed entry tax on some new items and rate of entry tax on certain items has been revised. These revised rates of entry tax and imposition of entry tax on new items will come into force w.e.f 18/08/2010. It is according to the Public Notice issued by Punjab Excise & Taxation Department, reproduced below:

Government of Punjab

Excise & Taxation Department, Punjab

Public Notice

LEVY OF ENTRY TAX

The Punjab Cabinet at its meeting held on 11-08-2010 at Chandigarh levied entry tax on certain new items and amended certain notifications already issued. These notifications shall come into force w.e.f. 18-08-2010. The details are as below:-

Sr. No.	Name of new items	Rate of  tax
	Coal and Coke	4%
	Milk to be used for manufacturing of taxable goods	5%
	Bitumen	5%
	Electric motors	12.5%
	Sulphuric acid, Hydrochloric acid, nitric acid, caustic soda, eythyl acetate and acetic anhydride	5%
	Girder (Joist) angle, channel and TMT	4%
	Steel fabricated material, poles (RCC and steel)	12.5%

Amended Notifications

Sr. No.	Name of items	Rate of  tax
	Vanaspati and other edible oils (refined or un-refined oil)	5%
	Transformers & its accessories and ACSR	5%
	Diesel of all kinds and Heavy Petroleum Stocks (HPS)	8.8%
	Marble including Granite, Kota stone, Red sand stone, Chips and Crazy	12.5%
	Oil cakes, De-oiled cakes (except soya), Rice bran and De-oiled rice bran	5%
	All kinds of tiles except Ashphaltic roofing earthen tiles	12.5%
	All kinds of cement	12.5%
	All types of plywood, board (other than paper board), sunmica, vineer	12.5%
	Branded Wheat Flour (Aatta), Maida and Suji	5%
	Furnace oil	4%
	All types of yarn excluding shoddy yarn, worsted yarn and cotton yarn,  partially oriented yarn, fibre excluding raw cotton and ginned cotton, polyester top, polyester chips including waste thereof	5%

Government has also approved enhancement of VAT rate from 12.5% to 20% on cigarettes and cigars, which will be applicable w.e.f. 14-08-2010.

For any information you can log on to the Department’s website www.pextax.com or contact on mobile numbers 98729-10007 or 98729-10050

A.VENU PRASAD, IAS
Excise & Taxation Commissioner, Punjab.


SOURCE: PUBLIC NOTICE OF EXCISE & TAXATION DEPARTMENT, PUNJAB

Punjab VAT Notification modifying criteria for Monthly Returns

GOVERNMENT OF PUNJAB

DEPARTMENT OF EXCISE AND TAXATION

(EXCISE AND TAXATION II BRANCH)

NOTIFICATION

The 18^th, May 2010

                        No. G.S.R.   /P.A.8/2005/S.70/Amd.(  )/2010.—In exercise of the powers conferred by sub-section (1) of section 70 of the Punjab Value Added Tax Act, 2005 (Punjab Act No. 8 of 2005), and all other powers enabling him in this behalf, the Governor of Punjab is pleased to make the following rules, further to amend the Punjab Value Added  Tax Rules, 2005, namely;-

RULES

            1.         (1)        These rules may be called the Punjab Value Added Tax (____________ Amendment) Rules, 2010.

                        (2)        They shall come into force on and with effect from the date of their publication in the Official Gazette.

            2.         In the Punjab Value Added Tax Rules, 2005, in rule 36,-

(a)        in sub-rule (1), for the second and third provisos, the following provisos shall be substituted, namely:-

“Provided further that a taxable person whose annual tax liability during the previous year was rupees two lakh or more, shall determined his tax liability for every month, and shall pay tax by the 20^th day of the month, if paid through the crossed cheque or draft, and by the 30^th day of the month, if paid through the treasury receipt, and shall submit the same to the designated officer, alongwith the information as required in Form VAT-16; and payment for the last month of each quarter shall be made on the 20^th day or the 30^th day of the close of quarter, as the case may be, alongwith with quarterly return. The return in Form VAT-15, shall be accompanied by photocopies of the treasury receipt, evidencing the payment of tax for the previous two months also:

Provided further that if the annual tax liability of a person exceeds rupees two lakh as stated in the second proviso, the taxable person shall continue to pay tax and furnish information as required in Form VAT-16 during all the subsequent year irrespective of the fact that his tax liability decreases from rupees two lakh.”; and

                        (b)        after sub-rule(1), the following sub-rule shall be inserted, namely:-

“(1-A)               Notwithstanding anything contained in sub-rule (1), the Commissioner may, for the reasons to be recorded in writing, specify such categories of persons, who will deposit tax payable by them as per provisions of sub-rule (1). However, such persons shall file consolidated return in such Form, as may be specified by the Commissioner from time to time.”

                                                                     SHIVINDER SINGH BRAR,

                                                                          Financial Commissioner, Taxation and

                                                                          Secretary to Government of Punjab,

                                                                          Department of Excise and Taxation