Archive for the ‘Indirect Tax’ Category

Treatment of goods w/o for CENVAT Credit

December 22, 2009 Leave a comment

Its common amongst the manufacturers to write off the value inputs and capital goods in the books of accounts, when they get obsolete, non-moving etc.

But manufacturers used to exploit this situation to their own benefit by w/o the value of stock in the books and still availing the CENVAT credit under excise.

To counter this, earlier this year Rule 3(5B) was added to the CENVAT Credit Rules, 2004. The provision read:

“that writing off the value of inputs and capital goods before putting them to use would entail reversal of the full Credit taken on them and that subsequent use of the inputs or capital goods would enable taking the Credit again”

The Circular No. 907/27/2009-CX dated December 7, 2009 also iterates the same position.

To read the full circular click here.


MP VAT new Announcement

October 10, 2009 5 comments

M.P. finance minister has announced that now vat-tax audit report will have to be submitted by 31st March instead of 31st Oct (as stated earlier).

He also propsed to provide for technical assistance in relation to filing form to the assessees.Largescale seminars will be cunducted state-wide for this purpose.

For more details visit:

MP VAT Quarterly Return (Form 10) Revised

October 6, 2009 25 comments

MP Commercial Tax Department has revised the format for VAT Quarterly Return. Some of important changes are:

  • List of purchases(Bill wise) is to be submitted along with return.
  • Registration numbers of reg. with other depts. (PAN etc.) are to mentioned.
  • Name of the commodity/ HSN Code is now to be mentioned in the return.
  • Detailed calculation of reversal is to be shown.
  • Aeging classification of ITR
  • Utilization details of statutory forms(C-form, F-form etc.)
  • Other changes

Amended points have been highlighted with red colour.

New Form 10 can be downloaded by clicking the following link

Revised Return Form of Vat Form No. 10

Properly formatted VAT Audit Report

October 2, 2009 Leave a comment

Hey all!

I have uploaded here the new improved and proper;y formatted version of Form 41A issued by the sales tax department, so that you can directly fill it up like a 3CD report.

The report can be downloaded from here:

Limit for VAT Tax Audit

September 30, 2009 3 comments

As per section 39 , subsection 2 of  M.P. Vat Act, 2002 :

Every dealer whose turnover in a year exceeds rupees forty lacks shall get his
account audited by a Chartered Accountant and furnish the report of such audit in such
manner and within such time as may be prescribed.

Provided that a dealer who is an industrial unit having annual turnover of upto
ten crore rupees may get his accounts audited by a member of Institute of Cost and
works Accountants of India.

At present as per Section 39(2) a person need to get  audited his account but there was no any type of Special format for reporting. In Future we need to report in form No. 41 A

Limit for Audit is similar to that of specified in Section 44AB of  Income Tax Act, 1961 i.e. Rs. 4000000.

Categories: Indirect Tax

New Form No.41A for M.P. VAT Audit

September 30, 2009 1 comment

Finally the sales tax dept. has issued the much awaited prescribed format for VAT audit report under section 39(2).

I have attached herewith the form prescribed in Rule 54(1) of M.P. VAT Rules as amended by Notification No. 27 issued by the dept.

The above can be submitted till 31st December, 2009, but penalty of Rs. 100 per day shall be levied after 31st October, 2009.

The form can be downloaded from the link below:

Excel Format(recommended) –>

Categories: Categories, Indirect Tax
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