Dear All Nashikkar,
Considering the import limit (purchase from outside Nashik limit) Rs.1 Lakhs and Local purchase (from Nashik dealers) limit Rs.1.50 lakhs; the LBT will affect almost all business segments. Even professional have to register under LBT.
I'm giving the following examples.
1. The businessman doing 'yearly' purchase (import) from outside Nashik dealer Rs.1 Lakhs or Local purchase (from Nashik dealers) limit Rs.1.50 lakhs; would liable for registration under LBT, filling of Return and payment of LBT.
2.A Tea Shop or Pan Shop owner effecting daily purchase from Local dealer of Rs.410/- would liable for Registration under LBT and filling return.
3. A "Bank" purchasing stationary/fixed asset of Rs.1.00 lakh (yearly) from outside Nashik dealer, liable for registration, return and LBT payment. Even yearly purchase from local dealer of Rs.1.50 lakh make liable for registration, return.
4. A professional purchase CAR for business from local dealer would liable for registration, filling return.
5. Even purchase from "Deolali cantonment Board" limit would considered as Import and liable for LBT payment.
6. The LBT would increase the compliance's for all traders, manufacturers, professionals, banks, commercial organisations, hospitals etc.
7. The provision of monthly payment of LBT would add another monthly task for businessmen.
8. The businesses having centralised billing system has to keep proofs of movements of goods. e.g. if billing from Nashik and godown outside Nashik Limit and if sale effected from godown. Then as the goods did not entered in local Nashik limit are not liable for LBT. Therefore, dealer has to maintain the proof of movement of goods arrived at godown and sale/transfer from godown.
9. The Chief minister has assured to increase "import purchase" limit to Rs.3 lakhs and "Local purchase" limit to Rs.4 lakhs. And interest rate in line with MVAT provisions.
There is many more to share here, this is in nutshell.
Regards,
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CA.C.V.PAWAR
PATIL DAWARE GIRASE PAWAR & ASSOCIATES
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CA.C.V.PAWAR
PATIL DAWARE GIRASE PAWAR & ASSOCIATES
CHARTERED ACCOUNTANTS
0253-2319641. M-9423961209
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INDIAN CA - NURTURED IN INDIA, GROOMED FOR THE WORLD
For latest Updates visit Blogspot : http://canews1.blogspot.in
hello sir I am a CA student doing my articleship nd have found that a Bank has capitalised payment of LBT on purchase of Fixed Asset is the treatment right if not please tell me the right one thank you.
ReplyDeleteThis is correct treatment. Read AS 10 fixed Assets.
ReplyDeleteok thankyou sir...
ReplyDeleteWelcome! :)
ReplyDelete