Ad-Free CAclubindia and Daily Updates on your mobile. Subscribe Now!

Entry tax

V.PUSHPA (Chartered Accountant) (86 Points)

27 January 2012

Whether tamilnadu tax on entry of motor vehicles is still in force or struck down? kindly clarify

Reply
Follow
Share

6 Replies

Kolluru Krishna Murty (Partner) (315 Points)
Replied 30 January 2012

Entry tax on import of goods into "Local area",other than vehicles is struck down.

Entry tax on entry of Vehicles into local area is still in force.

kkm

Upgrade to CAclubindia Pro. Subscribe Now!

V.PUSHPA (Chartered Accountant) (86 Points)
Replied 30 January 2012

Thank u, if Entry Tax is 14.5%, whether 12.5% after deducting CST 2% be paid. (or) after remiting 14.5% can we take VAT inpur credit. kindly clarify

again thanks

Kolluru Krishna Murty (Partner) (315 Points)
Replied 30 January 2012

1.You can deduct CST paid for purchase from outside the State and blance only is payable as entry tax.

2.Yes,you can take credit of entry tax paid (12.5%) through State vat mechanism.

kkm

vivekanandhan (DCTO) (39 Points)
Replied 20 February 2012

For Vehicle dealers

Entry tax on vehicles should be paid at 12.5% on the purchase value.You had to charge 14.5% tax on your sales.you have to pay the difference tax after set off the entry tax paid(14.5%-12.5%).For example if u purchase a car for Rs 2,00,000 means you have to pay entry tax of Rs 25,000(12.5%).when u sell the car at Rs 2,05,000 you had to charge VAT of Rs 29725 (14.5%).You had to pay Rs 4725 after set off the entry tax paid Rs 25,000.

For a purchaser(Own Use)

You had to pay difference tax as entry tax between the local tax(14.5%) and tax paid in other state.