how to charges tax
This query is : Resolved
19 July 2011
If an contractor registered under Maharashtra VAT under Works Contract Tax, get contract from other state which & at wat rate will he charge tax.
He goes to other state & purchases material from there and does the labour to make a product.
He cant Charges CST since he is not sending goods form Maharashtar to other state.
how wat does he do.
He goes to other state & purchases material from there and does the labour to make a product.
He cant Charges CST since he is not sending goods form Maharashtar to other state.
how wat does he do.
20 July 2011
Such contractor need to register under the particular state VAT authorities and purchase goods there and sell at local vat rates.
Generally Work contractor is work different states. there is one provision called "Causal dealer" under VAT act. you can register through that and purchase
Generally Work contractor is work different states. there is one provision called "Causal dealer" under VAT act. you can register through that and purchase
20 July 2011
In case of works contract there are two components 1) Labour and 2) cost of goods.
If there is a composite contract then VAT and Service Tax both are chargeable on percentage basis.
If the goods are purchased from other state then CST is to be paid but cannot be recovered.
If there is a composite contract then VAT and Service Tax both are chargeable on percentage basis.
If the goods are purchased from other state then CST is to be paid but cannot be recovered.
21 July 2011
Thanks alot sir.
Where can i get to read more on casual dealer. & Are these details (regarding casual dealing in specific state)to be stated in Form 233.
Where can i get to read more on casual dealer. & Are these details (regarding casual dealing in specific state)to be stated in Form 233.
28 July 2024
To understand more about casual dealers and their treatment in various states under VAT/GST regulations, you can refer to a variety of resources and guidelines. Here's a comprehensive guide to help you gather information and understand the process:
### **1. Understanding Casual Dealers:**
**Casual Dealer Definition:**
A casual dealer is a person who occasionally carries on or transacts business in a State where he has no fixed place of business. This often applies to businesses that temporarily operate or enter a state to conduct business.
**Key Points to Understand:**
- **Registration Requirement:** Casual dealers are required to obtain temporary registration under GST or VAT in the state where they conduct their business.
- **Tax Liability:** They must comply with the tax regulations applicable to their transactions, including collecting and paying tax.
- **Documentation:** Casual dealers are generally required to maintain detailed records and submit returns as per the state's regulations.
### **2. Resources to Read More About Casual Dealers:**
1. **State VAT/Central GST Rules:**
- Each state's VAT or GST rules will have specific provisions related to casual dealers. Check the official state government website or the respective GST/ VAT department's portal for detailed guidelines.
- For example, in India, you can refer to the GST Law on the [GST Portal](https://www.gst.gov.in) for central regulations and to state government websites for specific state rules.
2. **Government Notifications and Circulars:**
- Regularly review notifications and circulars issued by the GST Council or state VAT authorities. These documents often provide updated information and procedural changes.
3. **Legal Textbooks and Commentaries:**
- Books and commentaries on GST/VAT law often cover detailed provisions regarding casual dealers and their obligations.
4. **Online Legal Resources and Websites:**
- Websites like [Taxmann](https://www.taxmann.com), [ClearTax](https://cleartax.in), and [Practical Guide](https://www.practicalguide.in) provide articles and guides on GST/VAT regulations, including casual dealers.
5. **Professional Services:**
- Consulting with a tax advisor or legal professional specializing in indirect taxation can provide tailored advice and guidance.
### **3. Form 233 and Casual Dealers:**
**Form 233 Overview:**
Form 233 is generally used for certain declarations and information requirements under VAT or GST. The specifics of this form can vary by state and the nature of the transactions.
**Details Regarding Casual Dealing:**
- **Specific State Forms:** The details about casual dealers and their transactions are typically reported in the specific forms and documents required by the state’s VAT/GST regulations. The requirement to state information related to casual dealing in Form 233 would depend on the specific instructions provided by the state tax authorities.
- **Consult State Guidelines:** Check the guidelines issued by your state’s VAT or GST department. They will provide specific instructions on whether details regarding casual dealing need to be mentioned in Form 233 or any other relevant forms.
### **4. Practical Steps to Follow:**
1. **Check State-Specific Regulations:** Review the state-specific VAT/GST laws and notifications to understand the requirements for casual dealers.
2. **Obtain Temporary Registration:** If you are operating as a casual dealer, ensure you obtain temporary registration as required.
3. **Follow Filing Requirements:** Adhere to the filing requirements and maintain records as prescribed by the state's VAT/GST laws.
4. **Seek Professional Advice:** Consult a tax professional for assistance with form fillings, including Form 233, and to ensure compliance with all legal requirements.
By following these steps and utilizing the resources mentioned, you will be able to effectively understand and comply with the requirements related to casual dealers in your state.
### **1. Understanding Casual Dealers:**
**Casual Dealer Definition:**
A casual dealer is a person who occasionally carries on or transacts business in a State where he has no fixed place of business. This often applies to businesses that temporarily operate or enter a state to conduct business.
**Key Points to Understand:**
- **Registration Requirement:** Casual dealers are required to obtain temporary registration under GST or VAT in the state where they conduct their business.
- **Tax Liability:** They must comply with the tax regulations applicable to their transactions, including collecting and paying tax.
- **Documentation:** Casual dealers are generally required to maintain detailed records and submit returns as per the state's regulations.
### **2. Resources to Read More About Casual Dealers:**
1. **State VAT/Central GST Rules:**
- Each state's VAT or GST rules will have specific provisions related to casual dealers. Check the official state government website or the respective GST/ VAT department's portal for detailed guidelines.
- For example, in India, you can refer to the GST Law on the [GST Portal](https://www.gst.gov.in) for central regulations and to state government websites for specific state rules.
2. **Government Notifications and Circulars:**
- Regularly review notifications and circulars issued by the GST Council or state VAT authorities. These documents often provide updated information and procedural changes.
3. **Legal Textbooks and Commentaries:**
- Books and commentaries on GST/VAT law often cover detailed provisions regarding casual dealers and their obligations.
4. **Online Legal Resources and Websites:**
- Websites like [Taxmann](https://www.taxmann.com), [ClearTax](https://cleartax.in), and [Practical Guide](https://www.practicalguide.in) provide articles and guides on GST/VAT regulations, including casual dealers.
5. **Professional Services:**
- Consulting with a tax advisor or legal professional specializing in indirect taxation can provide tailored advice and guidance.
### **3. Form 233 and Casual Dealers:**
**Form 233 Overview:**
Form 233 is generally used for certain declarations and information requirements under VAT or GST. The specifics of this form can vary by state and the nature of the transactions.
**Details Regarding Casual Dealing:**
- **Specific State Forms:** The details about casual dealers and their transactions are typically reported in the specific forms and documents required by the state’s VAT/GST regulations. The requirement to state information related to casual dealing in Form 233 would depend on the specific instructions provided by the state tax authorities.
- **Consult State Guidelines:** Check the guidelines issued by your state’s VAT or GST department. They will provide specific instructions on whether details regarding casual dealing need to be mentioned in Form 233 or any other relevant forms.
### **4. Practical Steps to Follow:**
1. **Check State-Specific Regulations:** Review the state-specific VAT/GST laws and notifications to understand the requirements for casual dealers.
2. **Obtain Temporary Registration:** If you are operating as a casual dealer, ensure you obtain temporary registration as required.
3. **Follow Filing Requirements:** Adhere to the filing requirements and maintain records as prescribed by the state's VAT/GST laws.
4. **Seek Professional Advice:** Consult a tax professional for assistance with form fillings, including Form 233, and to ensure compliance with all legal requirements.
By following these steps and utilizing the resources mentioned, you will be able to effectively understand and comply with the requirements related to casual dealers in your state.
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