Ugly Head of Taxation Rising Again

The latest circular in the announcement board wants sellers to attach a copy of tax invoice with the orders. I think more than 90% of the sellers here do not have VAT or CST.

 

For those who do not know, voluntary registration for VAT number in maharashtra(MVAT) costs Rs 30,000(5k for registration work and 25k security deposit). If your turnover is above 10lacs(for maha sellers), you qualify for mandatroy registration. Then you dont need to pay 25k SD, just 5k for registration. You also need to maintain your yearly turnover else your VAT registration can be cancelled(5k straight in gutter ka paani) and(if applicable) running from office to office trying to get the 25K SD back.

 

Don't be surprised. India(aka mahan desh) ranks no 142 out of 189 in the world for "ease of doing business".

thehindu dot com/business/Economy/india-ranks-142-in-latest-ease-of-doing-business-report-wb/article6543211.ece

 

Anyway, registering for CST will cost you another 5K.

 

Tax invoice must have a VAT number(if order within state) or a CST number( if order from outside state). A challan(bill without VAT or CST) cannot be called a tax invoice. Perhaps someone can confirm this.

 

If ebay sellers are to comply with the latest circular, each one of us will have to shell out 35k.

 

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