Sales tax exempt upto ...? - for UP state
This query is : Resolved
08 July 2011
Hi,
I am located in Noida, UP.
Sales tax would be applicable after 2 Lacs of sales p.a.
Is that correct?
Please advise.
I am located in Noida, UP.
Sales tax would be applicable after 2 Lacs of sales p.a.
Is that correct?
Please advise.
17 July 2011
awaiting reply
23 July 2025
For **Uttar Pradesh (UP) Sales Tax**—especially as per rules around 2011—the threshold limit for **sales tax registration and applicability** depends on the nature of business and turnover.
### Key Points for UP Sales Tax Exemption:
* **Threshold Limit for Registration:**
Generally, if your **annual turnover (sales) is below Rs. 2 Lakhs**, you may not be required to register for VAT/sales tax.
* **Threshold Limit for Tax Liability:**
Sales tax liability arises only when your **turnover exceeds Rs. 2 Lakhs per annum** (for most goods/businesses).
* This means:
* If your **sales are below Rs. 2 Lakhs annually**, you are typically exempt from sales tax.
* Once turnover crosses Rs. 2 Lakhs, you must **register and pay VAT/sales tax**.
---
### But keep in mind:
* Some goods may have different limits or exemptions.
* Check if your specific business or goods have special provisions.
---
**So, yes**, your understanding is generally correct — sales tax applies after crossing Rs. 2 Lakhs turnover p.a. in UP.
---
If you want, I can help you find the exact current provisions or the relevant notifications from UP Commercial Tax Department. Just ask!
### Key Points for UP Sales Tax Exemption:
* **Threshold Limit for Registration:**
Generally, if your **annual turnover (sales) is below Rs. 2 Lakhs**, you may not be required to register for VAT/sales tax.
* **Threshold Limit for Tax Liability:**
Sales tax liability arises only when your **turnover exceeds Rs. 2 Lakhs per annum** (for most goods/businesses).
* This means:
* If your **sales are below Rs. 2 Lakhs annually**, you are typically exempt from sales tax.
* Once turnover crosses Rs. 2 Lakhs, you must **register and pay VAT/sales tax**.
---
### But keep in mind:
* Some goods may have different limits or exemptions.
* Check if your specific business or goods have special provisions.
---
**So, yes**, your understanding is generally correct — sales tax applies after crossing Rs. 2 Lakhs turnover p.a. in UP.
---
If you want, I can help you find the exact current provisions or the relevant notifications from UP Commercial Tax Department. Just ask!
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Difference between Date of Payment and Date of Deduction?
- ITR 4 and Bank transactions
- Journal entry of busniess expenses
- IS AUDIT MANDATORY IF COMMISSION INCOME IS MORE THAN 50 LAKH
- Unregistered suppliers utility
- URGENT-Eligible leaves being shown as 24 days for 3 years Articleship instead of 156 days in 108
- Need Professional Opinion - AY 2012-13 Old Demand & AY 2026-27 Refund Adjustment
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
