Once again, last date of Audit to be submitted in Form 704 is extended upto 31st Jan 2008. (Circular No. 71 (T) 2007, Dtd. 29th Dec 2007.)

Joint Commissioner of Sales Tax, Mumbai / Joint Commissioner of Sales Tax VAT Administration has been notified Authority for certification.(VAT-1507/CR-84/Taxation-1 Dtd.8th Jan 2008)

Refund Application to be made for dealers in Mumbai to Joint Commissioner of Sales Tax (Refund and Refund Audit in Mumbai). (VAT-1507/CR-87/Taxation-1 Dtd.8th Jan 2008)

Large no. of dealers are filling incorrect or incomplete return, which are considered as non filling of Return. Errors such as TIN not recorded, incorrect TIN, illegible TIN, mismatch of TIN and dealer non mentioning return period, Filling of Return in old format and depositing the Tax in the Bank which are not notified for collection of tax are observed. Returns needs to be submitted in duplicate and one will be returned as acknowledgement (Trade Circular No. 3T/ 2008 Dtd. 06.02.2008.)

Filling if Audit Report in Form No. 704 for the year 2005-06 and 2006-07 has been extended up to 31.03.2008 (Trade Circular No. 2T/2008 Dtd. 29.01.2008). This is mainly on account of the writ Petition filed by Maharashtra Sales Tax Practitioners

Statutory forms will be issued only after submission of information in the prescribed format giving details of period of return, Tax Return, Tax payable, Paid with Return, Date of Payment, Name of bank and Branch along with proof of filling return and payment. (Trade Circular No. 1T /2008 Dtd. 25.01.2008)

VAT Rate on Sale of motor Spirit to Electric Power Generating Company Transmission and Generating of Electricity, MTNL, BSNL etc. has been notified at 4%. (VAT 1507/CR-93/Taxation-1 Dtd. 21.01.2008)

Nebulizer has been inserted in Schedule C. (VAT 1507/CR-50/Taxation-1 Dtd. 01.02.2008)

Embroidery and Zari material will be covered under Schedule C and example of Zari has been specified. (VAT 1507/CR-6/Taxation-1 Dtd. 21.01.2008)

Components and products of human blood has been included in Sch. A and LPG kerosene has been included in Schedule C. (VAT 1507/CR-4/Taxation-1 Dtd. 01.02.2008)

Format of Bank Guarantee for granting the Refund under Rule 60 & 61 of Maharashtra Value Added Tax Act, 2002 has been prescribed (Trade Circular No. 6 T of 2008 dt. 01/03/2008)

Failure to file returns up to 31st march 2008, prosecution proceedings with the police will be initiated and delayed returns files up to 31st March will have to pay interest 1.25% per month for delay in paying tax with the returns and penalty at Rs. 1000/- incase return is filed before initiating the penalty preceding and Rs. 2000 after initiating the penalty preceding will be required to be paid. (Trade Circular No. 7 T of 2008 dt. 05/03/2008)

E-filing of VAT returns is mandatory under Rule 17 for the registered dealers whose Tax Liability was 1 cr. or more in the previous year. Detailed guideline has been provided under (Trade circular No 8 T of 2008 dt. 19/03/2008)

The VAT rates for certain item has amended with retrospective date vide trade circular No. 9 T of 2008 dt. 27.03.08

New form of return has been notified consequent to electronic filing of returns. Returns for the month April 2008 to be filed in new format electronically (Trade circular No. 10 T of 2008 dt. 03/04/2008)

Permission can be granted to preserve counter file or duplicates of bills or cash is generated from electronic system (Trade circular No. 11 T of 2008 dt. 04/04/2008)

The writ petition filed by Maharashtra Service Tax parishioners association has been dismissed by Hon'ble High Court of Mumbai, there by VAT audit is required to be conducted only by Chartered Accountant and Cost Accountant and audit report in Form 704 for the year 2005-06 and 2006-07 by 31st July 2008 (Trade circular No. 12 T of 2008 dt. 05/04/2008)

Penalty under Section 29 (8) of MVAT Act, 2002 for not filling the returns within prescribed time has been enhance to Rs. 5000/- from Rs. 1000 and other cases penalty has been enhance to Rs. 10000 instead of Rs 2000 (Trade circular No. 13 T of 2008 dt. 08/04/2008)

Commissioner of Sales Tax clarified in absence of notification issued under the CST Act, that CST to be charged at 3% on intestate sales from 01.04.2008. CST-1007/1/ADM-3/ADM-5 [Trade Circular no. 14T/2008 Dtd. 15.04.2008]

New procedure for declaration for statutory forms such as Form C, H & F prescribed under CST Act has been set up [Trade Circular no. 15T/2008 Dtd. 19.04.2008]

Detail procedure of filing online e-return has been prescribed. [Trade Circular No. 16T/2008 Dtd 23.04.2008]

Date of filing return and form of the returns has been changed

The new forms no. 231 to 235 has been available on the website on www.mahavat.gov.in and www.maharashtra.gov.in [Trade Circular No. 17T/2008 dtd. 05.05.2008]

Electronic filing of return is mandatory to the registered dealers whose tax liability during the previous year was Rs. 10 Lakhs or more starting from the returns for the period on or after 01.05.2008. [VAT/AMD-1007/IB/ADM-6 Dtd. 19.04.2008]

Special Refund Scheme has been notified for the benefit of the dealers whose net worth is more than Rs. 100 Crs. and refund claim is also more than Rs. 50 Crs. in the preceding year [Trade Circular No. 19T / 2008 Dtd. 23.05.2008]

VAT on petrol & Diesel oil and LPG for domestic use has been reduced [Circular No. 21T/2008 Dtd. 06.06.2008]

Audit report in Form 704 for the year 2005-06 and 2006-07 is to be furnished by 31st July 2008 and revised return to be furnished before 31st August 2008 in such circumstances no legal action will be taken. (Trade Circular No. 23/T/2008 dtd. 27.07.2008)

Industrial inputs in packing material, which we were specifying in notification dtd. 1/9/2005 for the purpose of schedule entry 224 will be applicable subject to change of Excise tariff code has replaced under central excise tariff act (Trade Circular No. 22/T/2008 dtd. 21.06.2008)

Administrative relief to the dealer dealing in Diamond and Diamond Jewellery is granted subject to certain conditions (Trade Circular No. 29 T of 2008 dated 16.08.2008)

Time limit for submission of Audit report in form 704 has been further extended to 30.09.2008 (Trade circular 27 T 2008 dated 31.7.2008)

In case of change of heading, subheading or tariff items of central excise tariff, old schedule will be valid till it is re-notified under MVAT Act 2002 (Trade circular No. 26 T of 2008 dated 23.7.2008)

Procedure for Business audit has been prescribed giving the scope of audit, Powers of Audit officer, rights and duties of dealer (Trade circular No. 25 T of 2008 dated 23.7.2008)

System of filing Annexures electronically introduced (Trade circular No. 24 T of 2008 dated 19.7.2008)

MVAT refund is now available to newly registered Large Scale Industrial Unit having net worth of Rs. 100 Crores or more for the first Financial Year. This applies to any refund claims in respect of periods starting on or after 01.04.2005. Procedure and Format has been prescribed. [Trade Circular No. 30T/2008 Dated 21.08.2008]

Exemption granted to Retail outlet of Motor Spirit is restricted to the purchases made from registered Dealer [VAT 1508/CR/59]

Govt. of Maharashtra is busy to resolve the issues created by MNS or probe conducted by ATS and face saving activities and hence fortunately there is no new Notification / Trade Notice on Maharashtra VAT Act and also they could not find time to issue the exemption notification or circulars for SEZ developers and SEZ Units though H'ble Chief Minister Shri. Vilasrao Deshmukh has given the promise in SEZ Conclave organized by MEEDC.

Last date for filing Audit Report for the year 2007-08 is again extended upto 31st January 2009 in the new Form 704 published in the Official Gazette vide Trade Circular No. 39 T of 2008 No. VAT/ AMD-1008/IB/ADM-06 dated 15th November, 2008. [Trade Circular No.- 41 T of 2008 Dated 18th December, 2008]

Trade Circular