MVAT- Administrative Relief to developers if combining fee paid
Mumbai, dated: 08/09/2016
Trade Circular No. 26T of 2016
Sub:- Grant of body Relief to developers.
Ref:- This workplace Trade Circulars
1. Trade Circular 14T of 2012 dated 06.08.2012.
2.Trade Circular 17T of 2012 dated twenty five.09.2012.
3. Internal Circular 4A of 2015 dated twenty four.03.2015.
The Taxation of Developer was material of the Court proceedings. Hon’ble Supreme Court of India upheld the constitutional validity of the modification to section 2(24) of the Maharashtra Value Added Tax Act, 2002. As a result developers became at risk of pay tax below geographic region price added Tax Act, 2002. so as to facilitate the registration procedure and to grant body Relief for un-registered amount numerous Trade Circulars referred as on top of were issued.
In the trade circulars referred at Sr. No. one and a pair of on top of, numerous compliances were expected from the Builder/Developers at intervals stipulated time. afterwards with a read that most un-registered Builder/ Developers ought to acquire the tax internet, the department has taken a lenient read by the interior Circular referred at Sr. No. 3 above. In several cases it absolutely was determined that body relief isn’t granted simply on the bottom that dealer has not paid the combining fee of Rs. 5,000/- but, all otherconditions/instructions issued within the Trade Circulars square measure followed.
2. problems diagrammatic by Trade-Various representations are received with respect to grant body relief to those Builder/Developers World Health Organization had complied all alternative conditions as per Trade Circular 14T of 2012 dt. 06.08.2012 and 17T of 2012 dt. 25.09.2012 and Internal Circular 4A of 2015 dt. 24.03.2015 however has paid the combining fee presently (i.e. after 30.11.2012).
3. during this regard it’s administratively determined that Builder/Developers World Health Organization had complied all alternative conditions as perTrade Circular 14T of 2012 dt. 06.08.2012and 17T of 2012 dt. 25.09.2012 and Internal Circular 4A of 2015 dt. 24.03.2015 however has paid the combining fee presently (i.e. after 30.11.2012) shall even be thought-about for grant of body relief.
4. This circular can not be created use of for legal interpretation of provisions of law, because it is clarificatory in nature. If any member of the trade has any doubt, he could refer the touch this workplace for additional clarification.