CST RATE CIRCULAR

8^th floor, Vikrikar Bhavan,

                                                                                            Mazgaon, Mumbai-400010.

TRADE CIRCULAR

To

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No.CST-1007/1/Adm-3/Adm-5                                                  Mumbai, Dt.15.04.2008

Trade Cir. No.14 T of 2008

   Sub:  Rate of tax under Central Sales Tax Act, 1956 from 1.4.2008.

  Gentlemen/Sir/Madam,

         In his speech on the Budget Estimates the  Hon’ ble Union Finance Minister has declared that the rate of Central Sales Tax will be reduced from 3% to 2% from w.e.f. 1^st April 2008.  However, the Notification regarding reducing the rate of tax from 3% to 2% has not been issued so far by the Union Government. Therefore, rate of tax under Central Sales Tax continues to be 3%.  It is hereby made clear that dealers should continue to collect and pay Central Sales Tax @ 3% on their inter-state sales from 1^st April 2008.  Any change in the applicable rate will be brought to the notice of the trade.  

2.       This circular cannot be made use of for legal interpretation of provisions of law as it is clarificatory in nature. If any member of the trade has any doubt, he may refer the matter to this office for further clarification.

 3.      You are requested to bring the contents of this circular to the notice of the members of your association.

                                                                               Yours faithfully,

(SANJAY BHATIA)

   Commissioner of Sales Tax,

 Maharashtra State, Mumbai.

No.CST-1007/1/Adm-3/Adm-5                                         Mumbai, Dt.15.04.2008

Trade Cir. No.14 T of 2008

1.  Copy forwarded To :

a.       All the Addl. Commissioners of Sales Tax in the State.

b.        All the Joint Commissioners of Sales Tax in the State.

c.        All the Sr. Dy. Commissioners of Sales Tax in the State.

d.       All the Dy. Commissioners of Sales Tax in the State.

a.       All the Asstt. Commissioners of Sales Tax in the State.

b.        All the Sales Tax Officers in the State.

2.       Copy forwarded with compliments for information to:

     a.  The Deputy Secretary, Finance Department, Mantralaya,

          Mumbai.

     b.  The Under Secretary, Finance Department, Mantralaya,

          Mumbai.

     c.   The Accounts Officer, Sales Tax Revenue Audit, Mumbai and

           Nagpur.

3.       Copy to all the Desks and Desk Officers in the office of the Commissioner of Sales Tax, Maharashtra State, Mumbai.

              (S.D.BHANDARE)

                                                            Joint. Commissioner of Sales Tax,

                                                          (H.Q.)1, Maharashtra State, Mumbai.