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Tag Archives: VAT Amnesty Scheme

Fat tax impose in kerala on burgers, pizzas in budget

Finance minister Thomas Isaac, who presented the revised budget for 2016-17 on Friday, said the government will raise tax revenues through nine schemes, which include introduction of a 14% “fat tax” on burgers, pizzas, tacos, doughnuts, sandwiches, burger patties, pasta and bread-fillings. The budget expects the tax to add an additional Rs.10 crore to the state coffers.

Profession Tax Enrollment Amnesty Scheme 2016

The Maharashtra State Tax on Professions, Trades, Calling and Employment Act, 1975 (Profession Tax Act) is implemented with effect from 1st April, 1975. Under this act, every self employed person engaged in any profession, trade, callings and employment in the state of Maharashtra is required to obtain Enrollment certificate registration and pay Profession Tax as prescribed in the law. The Act was introduced to fund Employment Guarantee Scheme started to tackle drought situation in Maharashtra. Though some states have done away with, Maharashtra has continued with it.

KVAT: Settling the dust on the Input Tax issue

The Value Added System of Taxation of Goods was introduced in order to address the issue of multiplicity of taxes and cascading effect of such taxes in the transaction chain. In the erstwhile single point taxation, goods which underwent any manufacture or processing where subject to sales tax on the new commodity emerging from such activity, resulting in additional tax burden over and above the value of the product itself. This resulted in inefficiencies in the tax structure and also promoted large scale evasion of taxes.

Service Tax versus VAT on Renting of Motor Vehicles

Currently, there is lot of confusion among the industry, trade and the taxmen on whether the activity of Renting of movable goods or supply of tangible goods attracts Service Tax or whether it attracts Sales Tax. The confusion has only been used as a tool by the departmental officials in issuing demand notices under both the tax laws and therefore a tug of war. Before we begin our discussion, let us understand the various illustrative business transactions that are in the nature of ‘Renting of a Movable goods’ or ‘Supply of Tangible goods’ as under:

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