The income tax department also referred to as it department or itd is a government agency undertaking direct tax collection of the government of india. Keeping up its poll promise, the bjpshiv sena government in maharashtra today proposed to scrap the local body tax lbt from august 1 in its maiden budget that largely spared the common man of. Local body tax lbt is a levy on the entry of goods into a local area for consumption, use or sale therein. Relevant sections of the maharashtra municipal corporation act the maharashtra municipal corporations local body tax rules with forms relevant notifications under mvat act, 2002 rate schedules. Pcmc lists items exempt from local body tax pune news. A reference and guiding book on lbt for lbt consultants, traders, manufacturers, advocates, chartered accountants and for any one who wants to know about local body tax in depth. Maharashtra to abolish local body tax from 1 august 3 min read. Profession tax is deductible under section 16 iii of the income tax act. Stamp duty and registration charges in mumbai, maharashtra. The commissioner may proceed to asses within 5 years from the end of the year. As per the maharashtra municipal corporations act, 1949 under section 2 31 local body tax defined as the tax applied on the entry of goods into the limits of. Maharashtra lbt manual local body tax 10% off under maharashtra municipal corporations act lix of 1949.
Thus it can be seen that in every taxing statue burden to pay tax is cast upon a particular persondealer who is liable to pay under the act, but there is no such specific provisions in lbt act or rules. It gives great pleasure and satisfaction to place the 1st edition of the book local body tax manual under maharashtra municipal corporation act lix of 1949 as amended upto 251020 alongwith commentary on l. For the information of all lbt registered dealers in maharashtra. Read more about maharashtra to roll back local body tax on business standard. The tax is to be paid by the trader to the civic bodies and the rules and. Real estate forum other pune advantages and disadvantages of local body tax. The act levies stamp duty on real estate properties at the rate fixed by the. The confederation of indian industry has welcomed the imposition of local body tax, which came into effect from april 1, 20, in thane, navi mumbai, nagpur, pune and the pimprichinchwad municipal co. It functions under the department of revenue of the ministry of finance. As per the central board of direct taxes, forms itr 1. In exercise of the powers conferred by subsection 4 of section 41 of the motor vehicles act, 1988 59 of 1988 and in supersession of the notification.
There are 355 panchayat samitis or block panchayats in maharashtra. Shop registration under the msme act 2006 provide a legal entity proof which gives the right for doing the business in your area or state for the same b business bank account every banks is required a legal entity proof to open a current bank account. Description of goods liable to payment of local body tax groupi name of the goods 2 articles made of precious metals of fineness not less than fifty per cent, whether or not containing precious stones, semi precious stones, diamonds or pearls whether real or cultured and to which entry 105 in schedule a group il does not apply. Maharashtra local body tax manual lbt manual 10% off. The forms can be classified into two broad categories those applicable to individuals and those applicable to firms and companies.
Notification regarding change of rate dated 03022014. Local body tax is the tax imposed on the entry of any goods into local areas for. Municipal corporation local body tax rules, 2010 and levied lbt in. Ix of 2005 or dealers registered only under the central sales tax act, 1956, 74 of 1956 whose annual turnover of sales or purchases of previous year, is rupees 25 lakh or less. A governmentappointed panel for alternatives to octroi deliberated the merger in detail. The local body tax lbt has been abolished for most traders in 25 of the municipal corporations in maharashtra, including those of thane, pune and kalyandombivali. Maharashtra vat compilation of the maharashtra value added tax act 2002, rate schedules, rules, forms and notifications. Income tax return forms are tax authority approved document formats used to file income tax returns for all income earned during a particular financial year. Notifications under the motor vehicles act issued by the central government under section 414 specification of types of motor vehicles s. Sales tax is generally charged in percentage of the value of the product at the time of purchase or exchange of goods. Cii welcomes local body tax in maharashtra the hindu. Local body tax abolished for most traders in maharashtra. The panchayat samiti is the link between the gram panchayat and zilla parishad. Short title and application 1 these rules may be called the maharashtra motor vehicles rules, 1989.
It is taxes on entry of goods, which trader has to pay periodically. If you are purchasing andor selling the goods within pune limits then there will be no local body tax. Local body tax, popularly known by its abbreviation as lbt, is the tax imposed by the local civic bodies of india on the entry of goods into a local area for consumption, use or sale therein. But if you are purchasing from outside pune and selling in pune in that case you can recover the l. The income tax department never asks for your pin numbers, passwords or similar access information for credit cards, banks or other financial accounts through email the income tax department appeals to taxpayers not to respond to such emails and not to share information relating to their credit card, bank and other financial accounts. Dated 01082015 amended the maharashtra municipal corporations local body tax rules 2010 so as to set fresh limits for registration and to provide for automatic cancellation of registration for the purposes of levy of local body tax.
The content available on the website is provided by pune municipal corporation and all the information. While the civic body will replace octroi with the local body tax lbt, valueadded tax, another indirect tax collected by the state at different stages of sale, will continue. Main responsibility of it department is to enforce various direct. Download goods and services tax gst in india file in pdf. It works for the villages that together are called a block. The gujarat assembly on tuesday passed the the gujarat local authorities laws amendment bill 2017 to empower local authorities to levy. The maharashtra motor vehicles rules, 1989 chapter i preliminary 1. Advantages and disadvantages of local body tax, other, pune. No merger of local body tax with vat, gst a2z taxcorp llp. As per the maharashtra municipal corporations act, 1949 under section 2 31 local body tax defined as the tax applied on the entry of goods into the limits of the city, for consumption, use or sale, levied in accordance with the provisions of chapter xi b, but does not include cess as defined in clause 6 a and octroi as defined in clause 42 1. The tax is imposed based on the entry 52 of the state list from the schedule vii of the constitution of india which reads.
Local body tax maharashtra lbt workshop princeton academy. Top 100 ca firms in pune, best chartered accountant in. It covers lbt from bpmc act, lbt rules 2010, lbt rules 2012, lbt rules 20 and even lbt rates from various municipal corporations navi mumbai, pune, nagpur, thane. The amount of local body tax due from a registered dealer liable to pay shall be assessed separately for each period. Maharashtra municipal corporations act, 1949 bare acts live. Maharashtra to abolish local body tax from 1 august. Pune dated 11032019 code of conduct cellwo222019 we have removed photographs of all political bearers from this website. Dealers registered under the maharashtra value added tax act, 2002, mah. Lbt was introduced in maharashtra under the provisions of maharashtra municipal corporation act, 1949, and the bombay. Original lbt navi mumbai rates lbt blog post download new 20 lbt navi mumbai rates ge.
What is lbt local body tax and why is it being opposed. Local body tax, popularly known by its abbreviation as lbt, is the tax imposed by the local. The embattled congressnationalist congress party alliance government in maharashtra has in principle taken a decision to roll back the controversial local body tax lbt which replaced the vexed octroi duty in civic bodies. These amendments exempt business organizations from levy of lbt and. In this decentralization to the third tier, municipal governments will be expected to finance a greater share of their expenditures from own sources.
Bjp abolishes local body tax in maharashtra the hindu. The purpose is to collect revenue for the purpose of implementing employment guarantee scheme. Taxes on the entry of goods into a local area for consumption, use or sale. Panchayat samiti is a local government body at the simple block level in india. Nabhi income tax guide 40% off mini ready reckoner 20122014. According to section 16 iii of the income tax act 1961, the profession tax paid by an employee is allowed as a deduction from hisher gross salary income. This tax is imposed on traders by the local civic bodies of each citytownarea and are different in each place.
The pimpri chinchwad municipal corporation has taken the lead in making clear which items will come under the local body tax. Profession tax act, 1975 maharashtra i purpose and scope the maharashtra state tax on professions, trades, callings and employments act, 1975 profession tax act has come into operation from 141975. Moving a karnataka registered twowheeler to pune, can i. Sales tax is an indirect tax which is paid to a regulating governing body for the sale the sale of goods and services. The bjpled maharashtra government on wednesday announced that the local body tax lbt on traders would be abolished by august 1 in the first ever budget presented by a bjp finance minister in. Partial abolition of local body tax lbt in maharashtra w. The state government has ruled out a merger of the two indirect taxes.
1520 18 641 1586 341 179 87 1154 685 411 889 456 1387 1015 157 1585 679 618 1334 1251 334 51 732 1153 1220 175 384 823 1332 1487 452 1407 1255 309 205 919 1415 1121 653 932 696 1164 656 1033 940 1122 563 528 1042 905 203