Proposing to enhance Value Added Tax (VAT) on tobacco products from 13 per cent to 27 per cent, the Madhya Pradesh VAT (Amendment) Bill, 2014, was passed by the Assembly with voice vote on Wednesday. The Bill--tabled by Commercial Tax Minister Jayant Malaiya in the Assembly--also proposes to make the situation clear with respect to the value of different types of liquor such as countrymade and foreign liquor.
Under Section 2 (F) of the VAT (Amendment) Act, 2013, five per cent VAT is levied on alcohol. Similarly, the period of service for appeal board chairman and members has been extended to five years subject to maximum of 65 years, by amending Section 4.
Meanwhile, under the Madhya Pradesh VAT Act, 2002, the MP Commercial Taxes Department (MPCTD) has made online enrolment mandatory for transporters who carry goods from other states into the state of MP and after transshipment of goods in MP, the goods are sent to other states. Only enrolled transporters (from March 3, 2014) can generate the mandatory online Transshipment Receipt (TR) using the departmental websitehttps://mptax.mp.gov.i. Under this facility, all enrolled transporters using transshipment inside MP have to visit the departmental website, to get the login-ID and password. Using this login-ID, the transporter can issue online TR to other enrolled transporters for transshipment. This TR will be issued bilty-wise/lR-wise separately for each destination which has to be produced at the departmental exit check post in order to carry the transshipped goods out of Madhya Pradesh. For additional information on the above, one can refer the user manual available on the departmental website, https://mptax.mp.gov.in.