STAY ON REPRESENTATION SERVICES BY LUCKNOW BENCH- MODIFIED


Announcement on Court Verdict Modifying The Stay Order Dated 6 August 2014, By The Lucknow Bench of The Allahabad High Court on VAT. - (20-08-2014)

ATTENTION OF MEMBERS

ANNOUNCEMENT ON COURT VERDICT MODIFYING THE STAY ORDER DATED 6 AUGUST 2014, BY THE LUCKNOW BENCH OF THE ALLAHABAD HIGH COURT ON VAT

This is with reference to the order passed by the Lucknow Bench of the Allahabad High Court in the matter of Tax Lawyers Association & Anr. v/s State of U.P. & Ors. whereby only registered advocates were permitted to appear before the Authority under the VAT Act in the State of U.P.

On applications filed by the Institute for impleadment and vacation of stay, the Hon’ble Lucknow Bench of Allahabad High Court has modified its order dated 6th August, 2014 and consequently Chartered Accountants would continue to be permitted to appear before the Authority under the VAT Act in the State of U.P.

 
source- ICAI.org

MADRAS HIGH COURT (MADURAI BRANCH)

In the case of :-

Star Marketing and Sun Cellular Communications Vs.  The Assistant Commissioner, Karur (South) Assessment Circle and others

Appellants, who them selves applied for clarifications from Advance Ruling Authority cannot turn-back saying that the clarification is not binding on them.

For full text of judgment- Please click here

Non Advocates barred from appearing before the Authority under UP VAT Act (Interim Order)

Allahabad High Court 

in the case of 
Tax Lawyers Association Lko. 
Vs. 
State of  Uttar Pradesh.

as a Interim Measure held that no person whosoever, may be permitted to advertise in the Newspaper or any leaflet, inviting assesses for the purpose of filing of return or arguing before the authority under the VAT Act. Any person, who is not a registered advocate, shall not be permitted to appear before the Authority under the VAT Act. Judgment is a blow for Professionals like Chartered Accountant, Company Secretaries, Cost Accountants etc. who are working in the filed of UP VAT.

For full text of judgment, please click here

Kerala Value Added Tax Act, 2003 

Appellant:- M/s SAURASHTRA ROADWAYS

Registration of Parcel/courier/transporting and clearing agencies functioning within the State are liable for registration.

Held- There is absolutely no bar on the legislature, to provide for registration of transporting agencies, who have an intimate and proximate connection, to the sales and purchase of goods, and also provide for filing of returns, and inspection of accounts of such transporting agencies. However, as the Act, stands now, it only mandates the latter and does not provide for registration. The statute having not provided for the same, the Commissioner as was noticed, is not entitled to bring in such transporting agencies invoking the administrative powers conferred under Section 3 of the KVAT Act.

W.P(C) Nos.28690 of 2011 & 31635 of 2011, Date: 1st AUGUST 2014 

For full text, click here

THE ASSAM VALUE ADDED TAX (AMENDMENT) BILL, 2014

GIST OF PROPOSALS OF AMENDMENTS IN AVAT (AMENDMENT) BILL, 2014

1. Part –II of the Explanation to clause (44) of section 2 shall be substituted as follows:-
“(ii) any amount allowed by seller of goods to the purchaser as cash discount or commission or trade discount at the time of sale of goods subject to the condition that such discount or commission is shown in the original invoice.”

2. Clause (c) of sub-section (1) of section 13 shall be omitted.

3. New sub-section (3) will be inserted in section 13, which will read as:-
“(3) Notwithstanding anything contained in this Act, if after issuing invoice, any amount is allowed by a selling dealer to a purchaser as cash discount or commission or trade discount or sales incentive or otherwise and such amount is adjusted through credit note issued by such selling dealer to the purchaser or by any other means, the selling dealer shall not be allowed to reduce his output tax liability on account of such deduction".

concessional rate of entry tax on import of raw materials

कच्चे माल के आयात पर प्रवेश कर हटाने की मांग को नज़रअंदाज़ किया गया, टेक्स रेट में रियायत देने का झुनझुना। 



Different Institutions and trade associations has urged in their pre-budget memorandums to abolish entry tax on the import of raw materials by industries. Unfortunately, this demand was totally overlooked by Hon'ble Minister. However he said- "To promote industrialization in the State, especially MSME sector, I propose to allow concessional rate of entry tax on all raw materials, used by local industries, if such raw materials are not available locally. I will instruct industries Department to draw up a scheme for this purpose".