Entry tax on steel in maharashtra

Vishal Jain (Service) (44 Points)

17 July 2015  


W.e.f. from 01.04.2015, Entry tax @ 5% will be payable on following goods which are added vide sr. no. 17 of the Schedule appended to the Maharashtra Tax on the Entry of Goods into Local areas Act, 2002:-

1) Steel bars  (rounds, rods, square flats, octagons and hexagons, plain & ribbed or twisted in coil form as well as straight lengths)

2) Steel structural (angles, joints, channels, tees, sheet piling sections, Z sections or any other rolled sections)

3) The Steel bars and structures made up of stainless steel.

Above goods are covered by clauses (iv) and (v) of entry 55 of Schedule ‘C’ appended to the MVAT Act.


Exemption from this tax is however available for traders who  import such goods in the State of Maharashtra for resale or for export out of India. Entry Tax is not leviable if the importer of goods is registered under the    MVAT Act and if such goods have been brought into the State for the  Purpose of:

a. Resale in state, or

b. Sales in the course of inter-State trade or commerce, or

c. Export out of the territory of India.

 If the goods are utilized for purposes, other than those mentioned above,  then Entry Tax is required to be paid.


An importer is liable for registration under the Entry Tax Act, if the value  Of specified goods imported by him at any time exceeds rupees ten Thousand in a financial year within 30 days from the date on which the value of such goods exceeds rupees 10,000.


The Entry Tax payable by the Importer shall be reduced by the amount of VAT, if any, paid in the Union Territory or the State, in which the goods are purchased, by the importer. Entry tax @ 5% will be payable on import of these  goods within 25 days of the next month.

Sales Tax Department of Government of Maharashtra has made available the facility to accept payments under The Maharashtra Tax on the Entry of Goods into Local Areas Act, 2002 through the GRAS Portal has been made available from 01/07/2015. Payment of the aforesaid tax electronically is optional at present. It may be made mandatory soon.


Set-off  of the tax paid under the Entry Tax Act, is also admissible under MVAT rule 52(1)(c), to a dealer registered under the MVAT Act. However, the admissibility of set-offs is subject to the provisions in other MVAT rules or any MVAT notification relating to retention and non-admissibility of Set-off.