COMPOSITION SCHEME

COMPOSITION SCHEME

1. INRODUCTION

Powers to impose lump sum tax

State Government has the power to accept from any class of dealers, in lieu of tax payable under this Act, a lump sum linked with production capacity or some other suitable measure of extent of business, or calculated at a flat rate of gross receipts of business or gross turnover of purchase or of sale or similar other measure.

All the powers relation to this composition scheme vest with State Government, it is free impose conditions and restrictions that it may feel suitable on case to case basis. State Government may prescribe simplified system of registration, maintenance of accounts and filing of returns which shall remain in force during the period of such composition.

IGST the whole theme of compounding is based on the deemed production instead of the actual production.

2. LUMP SUM SCHEME IN RESPECT OF BRICK KILN OWNERS.

A brick kiln owner may, opt for payment of lump sum in lieu of tax payable by way of composition at the rates given in the Table below. [1]

[1] Haryana VAT Notification No. Web 4-H.A.6-2003-S.60-2010 dated 13 May 2010

The following draft of the rules further to amend the Haryana Value Added Tax Act, 2003, which the Governor of Haryana proposes to make in exercise of the powers conferred by Sub-section (1) of section 60 of the Haryana Value Added Tax Act, 2003 (Haryana Act 6 of 2003), is published below for the information of persons likely to be affected thereby.

Notice is hereby given that the draft of the rules will be taken into consideration by the Government on or after the expiry of a period of ten days from the date of uploading of this notification on the official web-site www.haryanatax.com together with objections and suggestions, if any, which may be received by the Financial Commissioner and Principal Secretary to Government, Haryana, Excise and Taxation Department, Panchkula, from any person with respect to the draft of the rules before the expiry of the period so specified:-

Draft Amendment

1. These rules may be called the Haryana Value Added Tax (Second amendment) Rules, 2010.
2. In the Haryana Value Added Tax Rules, 2003 (here in after called the said rules), in rule 47, in sub-rule (1), for the existing table the following table shall be substituted, namely:-

"Table

Sr. No.	Capacity of Kiln	Category	Lump sum payable in lieu of tax for the period 1.10.2009 to 30.09.2010
1.	Brick kiln of capacity of more than 33 number of Ghori	+ A	Rs. 2,68,800/- plus Rs. 9360/-per additional Ghori above 33 Ghori
2.	Brick kiln of capacity of 28 to 33 number of Ghori	A	Rs. 2,68,800/-
3.	Brick kiln of capacity of 22 to 27 number of Ghori	B	Rs. 2,10,000/-
4.	Brick kiln of capacity of below 22 number of Ghori	C	Rs. 1,68,000/-
5.	Brick kiln not fired during the year ending 30th September, 2010 in which stock in and outside the kiln as on 1st October, 2009 last, did not exceed five lakh bricks of all categories.	D	Rs. 42,000/-

Note :- If a kiln is designed to be fired at two places, the rate of lump sum payable by the owner of such kiln shall be double of the aforesaid rates."

Ramendra Jakhu, 
Financial Commissioner and Principal Secretary 
to Government, Haryana, Excise and Taxation Department.

Source: LexDoc Id: 387428

[1] Ghori is vertical column of bricks of width equalling the length of a brick separated from the next similar vertical column by a distance of about 4" to 5" and "number of ghori" is the number of vertical columns of bricks capable of being accommodated between the inner and outer wall of the vessel of a brick-kiln over its full width.

[1] Ghori is vertical column of bricks of width equalling the length of a brick separated from the next similar vertical column by a distance of about 4" to 5" and "number of ghori" is the number of vertical columns of bricks capable of being accommodated between the inner and outer wall of the vessel of a brick-kiln over its full width.

[1] Ghori is vertical column of bricks of width equalling the length of a brick separated from the next similar vertical column by a distance of about 4" to 5" and "number of ghori" is the number of vertical columns of bricks capable of being accommodated between the inner and outer wall of the vessel of a brick-kiln over its full width.

[1] Ghori is vertical column of bricks of width equalling the length of a brick separated from the next similar vertical column by a distance of about 4" to 5" and "number of ghori" is the number of vertical columns of bricks capable of being accommodated between the inner and outer wall of the vessel .

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