can someone please help me understand the composite scheme under section 16(3) of the wb vat act
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Section 16(3) West Bengal vat act
Replies (3)
16(3) Notwithstanding anything contained in sub-section (1) or sub-section (2),
any registered dealer having liability to pay tax under this Act, many, at his
option,––
(a) if his gross sales in the year ending on the day preceding the appointed
day does not exceed fifty lakh rupees ; or
(b) if his turnover of sales in the preceding year commencing on or after 22
the appointed day
3
[does not exceed fifty lakh rupees, or]
4
[(c) if his turnover of sales during the period from the commencement of
the year in which he gets himself registered to the date of his
registration, does not exceed fifty lakh rupees,]
pay tax at such compounded rate not exceeding one per centum of the total
turnover of sales of such dealer in the year for which such option is required to
be exercised, and subject to such conditions and restrictions as many
prescribed, for each tax period of the year in view of tax payable under subsection (2) on all his sales:
Provided that the registered dealer having liability to pay tax under this
Act as stated in this sub-section shall not include––
(a) an importer; or
(b) a manufacturer; or
(c) a dealer engaged in execution of works contracts; or
5
[(ca) a dealer who has purchased tea sold under the auspices of any tea
auction centre in West Bengal duly authorised by the Indian Tea
Board; or]
(d) a dealer who transfers goods otherwise than by way of sale within or
outside the State; or
(e) a dealer who sells goods within the meaning of section 3 of the
Central Sales Tax Act, 1956; or
(f) a dealer who sells goods in the course of import of the goods into, or
export of the goods out of, the territory of India within the meaning
of section 5 of the Central Sales Tax Act, 1956:
Provided further that such dealer shall not be entitled to issue tax invoice
referred to in clause (48) of section 2 of the Act:
Provided also that a registered dealer who, in addition to the purchase of
goods in course of his business in a year, have also received goods from the
supplier within or outside West Bengal, on branch transfer or on consignment
basis, for which no price has been paid, shall not be entitled to opt for payment
of tax under such compounded rate:
Provided also that if during the period of enjoyment of payment of tax at
compounded rate, turnover of sales of a dealer exceeds fifty lakh rupees, he
shall become ineligible to pay tax under this sub-section from the
commencement of the month immediately following the month during which
his turnover of sales exceeded such sum.
Dear sir, if unknowingly of the above provisions someone fills form 16 can he pray for cancellation of his form 16 fill up and go back to normal filing of returns and if so also can he utilies rs 7000 paid challan for filing such returns.
Can a retailer in composition scheme mention inclusive of vat in its sale bill
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