You are on page 1of 17

NOTIFICATION Finance Department, Mantralaya, Mumbai 400 032. Dt. 1st June 2005.

. Maharashtra Value Added Tax Act, 2002. No.VAT-1505/CR-105/Taxation-1 In exercise of the powers conferred by section 42 of the Maharashtra Value Added Tax Act, 2002, (Mah. IX of 2005) and in supersession of the Government Notification, Finance Department No. VAT-1505/ CR105/ Taxation-1, dated 1st April 2005, Government of Maharashtra hereby subject to the conditions specified in column (5) against each class of dealers specified in column (2) of the Schedule appended hereto, provides for composition of tax payable by the said dealers on their sales specified in column (3) of the said Schedule as specified in column (4) of the said Schedule. SCHEDULE Serial No. (1) (1) Class or classes of dealers (2) Restaurants, eating house, refreshment room, boarding establishment, factory canteen Clubs, Hotels and Caterers Classes of Sales or Purchases (3) Aggregate of sales of food and drinks, being and drinks alcoholic nonalcoholic nonnot food, alcoholic Composition Amount (4) 8 per cent. of the case turnover of a of sales in the registered dealer and 10 per the case cent of turnover of an Conditions

(5) (i) The claimant dealer shall not be entitled to the claim any set off under Maharashtra Value Added Tax Rules, 2005, in respect of the purchases

of sales in the

served in

for any

unregistered dealer. Explanation:Where serving alcoholic drinks, tax on sales the of will be this tax on payable the dealer is also

corresponding to any goods which are sold or resold or used to (3) in in of packing of goods referred column this entry. (ii) The claimant dealer shall not collect including composition amount separately in the bill, cash memo or invoice issued to the customer. (iii) The claimant dealer apply in shall the tax

consumption restaurant or hotel or any thereof having gradation of "Four Star " and above or supplied such restaurant, or hotel, (a) (a) for at or in the immediate vicinity any restaurant, hotel, eating house, refreshment room, of served by part

alcoholic drinks not under but the

compounded notification

consumption payable

sales by such dealer of food and alcoholic drinks will be allowed to be compounded under this notification. non-

form-2 in respect of caterers and in the Form-1 in case of others for the appended to this notification exercising

boarding establishment, factory canteen or (b) (b) supplied by sale such restaurant, hotel, eating house, refreshment room boarding establishment or club, or (c) (c) for consumption at than hotel, any a place other restaurant, served or way of by counteror in any club

option to pay tax under composition scheme. application should be made to the assessing authority who was in charge of the case on the 31st March 2005, before 15th June 2005 or as the case may be, to the registering authority at the time application Registration Certificate under the Act. (iv) Subject to of for The the

condition (iii), if the option to join or to opt out of the composition is scheme

eating room

house,

exercised, in any year then it can be changed only at the beginning of the next year. (v) The Claimant dealer is not eligible to issue Tax Invoice in respect of sales of goods referred to the column (3) of this entry. (i) The claimant dealer Joint Commissioner for the purpose of benefit this entry claiming under shall be certified by the

refreshment boarding establishment factory canteen, or any club by a caterer.

(2)

Bakers

Aggregate

of

4 per cent. of the first thirty lakh rupee of the turnover total of

Sales of bakery products which are manufactured by the baker himself

sales of goods referred to in column (3) of this and of Maharashtra State, if any, entry goods out

(ii) The claimant


dealer shall not be entitled to the claim any set off under

imported

including bread in loaf, rolls, or a per or in slices, toasted otherwise, registered cent. of in the case of dealer and 6 the first thirty lakh rupee of the turnover total of

Maharashtra Value Added Tax Rules, 2005, in respect of the purchases corresponding to any goods which are sold or resold or used to (3) in in of packing of goods referred column this entry. (iii) The turnover of sales of bakery products including rupees previous which composition bread thirty to the is has not exceeded out lakh in the year

sales of goods referred to in column (3) of this entry and goods imported of Maharashtra State, if any including bread in loaf, rolls, or or in slices, toasted otherwise,

availed and if the dealer was not liable registration under the for

in the case of an unregistered dealer.

Bombay

Sales

Tax Act, 1959 or as the case may be under the Maharashtra Value Added Tax Act, 2002, in the immediately preceding year, then he shall be entitled to claim the benefit of the scheme respect rupees sales of of in in the the the

first thirty lakh total turnover of current year. (iv) The claimant dealer apply Form-3 appended to this notification exercising under composition for the the in shall the

option to pay tax

scheme. application

The

should be made to the assessing authority who was in charge of the case on 31st March 2005 before 15th June 2005 or as the case may be, to the time application Registration Certificate under the Act. (v) Subject to condition (iii), if the option to join the composition is scheme registering of for authority at the

exercised, in any year then it can be changed only at the beginning of the next year. (vi) The claimant

dealer shall not be issue Invoice eligible to Tax in

respect of sales of goods referred to in column (3) of this entry. (vii) The claimant dealer shall not be eligible to the recover composition amount from any customer separately. (3) Retailers Total of turnover made The composition amount shall be specified below, calculated on the,Excess, if any, of the total of turnover sales, as (i) The selling tax in the of dealer does not collect separately respect

sales

by a registered dealer, who is a retailer provided section any excluding turnover resales 41, as in of the of if any, goods

sales specified in column 3.

(ii) The claimant


dealer shall not be entitled to the claim any set off under

effected by him,

of the following goods:1) liquor, 3(6)(1) Liquor 1953. 2) liquor, defined Maharashtra Country Liquor Rules, 1973. 3) imported any outside territory India defined, Liquor from place the of as from Country as in of Foreign as the

including turnover of sales of tax free goods but excluding liquor, Drugs, and Motor Spirits referred to in column (3) of this entry , in respect of any six the of monthly over turnover purchases of of free but period

Maharashtra Value Added Tax Rules, 2005, in respect of the purchases corresponding to any goods which are sold or resold or used to (3) in in of packing of goods referred column this entry. (iii) The turnover of sales of goods specified column this not in which composition the not dealer liable to (3) in of has

defined in rule Bombay Foreign Rules,

including turnover purchases tax goods, excluding liquor, Drugs, Motor Spirits referred to in column (3) of

entry

exceeded the year to the is was for

rupees fifty lakh previous

time to time, in rule 3(4) of the Maharashtra Foreign (Import Export) Liquor and Rules,

availed of and if

registration

1963. 4) Drugs covered by the entry 29 of the Schedule Act. 5) Motor Spirits notified by the State Government under section section the Act. sub(4) 41 of of C appended to the

this entry , in respect of the said month period. turnover purchases shall increased tax be by The of six

under Bombay

the Sales

Tax Act, 1959 or, as the case may be under the Maharashtra Value Added Tax Act, 2002, in the immediately preceding year, then he shall be entitled to claim the benefit of the scheme respect of of in first fifty in the lakh the the

the amount of collected by the vendor of the retailer separately from retailer. 1) at the rate of 5 per cent for retailers whose aggregate the of sales of of by A goods turnover the the

rupees sales

total turnover of current year. (iv) The turnover of purchases to in by of of referred be the every by

column (3) shall reduced amount credit

goods, covered schedule and

any type received the selling

taxable at the rate of 4 per cent., if any, is more than 50 per cent. of the total of turnover sales; excluding the turnovers liquor, and spirits referred this entry 2) at the rate of 8 per cent. in any other case. to columns 3 of of drugs motor

dealer from any of his vendors whether or not such credit is in respect by the of any goods purchased selling dealer from the said vendor. (v) In respect of the six monthly period 2005, calculating excess 5/6th of is instead sales period. (vi) The claimant starting for the referred of the to of for the six period be the that on the 1st April

to in column (4), turnover of sales monthly considered entire turnover of

dealer apply Form-4 in

shall the

appended to this notification exercising under composition scheme. application should be made to the assessing authority who was in charge of the case on the 31st March 2005 before the 15th June 2005 or as the case may be, to the registering authority at the time application Registration Certificate under the Act. of for The for the the

option to pay tax

(vii)

Subject

to

condition (iii), if the option to join the composition is scheme

exercised, in any year then it can be changed only at the beginning of the next year. (viii) claimant shall not The dealer be

eligible to recover composition amount from any customer separately. (ix) The claimant dealer is not a manufacturer or importer. (x) The taxable from

goods resold are purchased registered dealers.

(xi) Purchases of tax may dealers as unregistered dealers. xii) other purchases from unregistered dealers meant for of resold. (4) Dealers in Sales of secondhand passenger motor vehicle whether or not sold after reconditioning or refurbishing by a registered dealer whose principal The composition amount shall be calculated @ 12.5% on 15% of the sale price of the vehicle. (i) dealer Joint Commissioner of Sales Tax for the purpose of this entry. (ii) The selling dealer proves to Claimant shall be are only goods Any free be as goods from well from

registered

packing

Second-hand Motor Vehicles

certified by the

business is of buying or selling of motor vehicles.

the of that

satisfaction the the Entry

Commissioner Tax in respect of the said vehicle has been paid, or that the said vehicle is registered at the time of purchase under Central Vehicle 1989 State Maharashtra and accordingly, registration mark State allotted to said vehicle. (iii) The claimant dealer shall not be tax eligible paid to or claim set-off of payable or, and of this was the in the Motor Rules, the of

of entry tax paid or any, purchases second-hand motor referred entry. (iii) The claimant dealer apply Form-5 appended to this notification exercising under composition scheme. application should be made to the assessing authority who was in charge of the case on the 31st March 2005 before 15th June, 2005 or as The for the the in shall the vehicle to in payable, if on of

column(3) of this

option to pay tax

the case may be, to the registering authority at the time application Registration Certificate under the Act. (iv) The claimant dealer shall not issue Invoice Tax in of for

respect of sales of goods referred to in column (3) of this entry. (v) The claimant dealer shall not be entitled to recover composition amount from any customer separately.