The Government of Maharashtra State has revealed the Additional Budget on Tax and other perspectives on 5th June 2014. The Additional Budget was unveiled by the Deputy Chief Minister and Finance Minister of Maharashtra, i.e. Mr. Ajit Pawar. There are many professionals (e.g. Tax consultants and Chartered Accountants, Company Secretaries and Cost & Works Accountants) working in Maharashtra are looking for the Key Changes that come out with Additional Budget on Tax in Maharashtra State. The Professionals handle all the tax relating issues of their clients. So the Important points to be noted in Maharashtra Additional Budget on Tax are described as follows:
Highlights of Maharashtra State Additional Budget on Tax 2014
- Professional Tax:
Minimum limit of Salaries for Professional Tax has been increased from Rs.5000/- to Rs.7500/-
- VAT Registration:
The limit of Turnover previously Rs.5,00,000/- is raised to Rs.10,00,000/- of Registration for VAT (Value Added Tax).
- Tax on Cotton:
The Rate of Tax on Cotton has been decreased from 5 percent to only 2 percent.
- Tax on Sugarcane Purchase:
The Tax imposed on purchase of Sugarcane is Exempted for Financial Year 2013-14.
- Audit Report:
The Turnover limit to file the Audit Report has been enhanced to Rs.1 Crore from Rs.60 lacs.
- Copyrights of Cinematographic films:
The VAT (Value Added Tax) on Sales / Lease of Copyrights of Cinematographic Films for theatrical exhibition has been Exempted for the period from 1st April 2005 to 30th April 2011.
- Scheme for Retailers:
The Retailers, as a substitute of VAT (Value Added Tax), can pay 1 percent of Total Turnover or 1.5 percent of Taxable Turnover.
- Aeroplane Spares:
The Aeroplane Spares have been exempted for promoting / sponsoring Repair and Maintenance Industries.
- Pawn, Pledge:
Cap of Stamp Duty worth Rs.10 lacs for Pawn, Pledge and Hypothecation.
- Capital Goods:
The Tax on Sales of Notified Capital Goods to Central Government department or to State Government department is laid at 5 percent.
- Luxury Tax:
The Luxury Tax has been Exempted up to Rs.1000/-. It is limited to 4 percent up to Rs.1500/- and laid @10 percent for more than Rs.1500/-.
- Concession in Luxury Tax:
There is concession in Luxury Tax for the New Hotels covered in “B” as well as “C” zones.
- Late Fee for VAT:
The Late Fee for filing VAT (Value Added Tax) Return has been reduced to Rs.2000/-, which was formerly Rs.5000/- for the delay period of maximum One month.