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VAT relief for small traders in Chhattisgarh budget

Special stress given to agriculture in the budget

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R Krishna Das Raipur
Last Updated : Feb 08 2014 | 4:42 PM IST
Chhattisgarh government has given Value Added Tax (VAT) relief for the small traders and self help group (SHG).

The annual budget presented by Chief Minister Raman Singh for the fiscal 2014-15 today underlined that VAT would not be charged on the products manufactured by SHG. “This would encourage the cottage industries set up by Self Help Groups (SHGs) in the State,” Singh said.

The Tractor trolley has been made tax free in Chhattisgarh while in order to facilitate speedy expansion of the communication network, entry tax payable by telecommunication companies would be reduced from 4% to 1%.  

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The state government intends to encourage self-certification and voluntary compliance among dealers. It has already made  inspection before registration mandatory from January 1, 2014. Dealers can now obtain registration on the basis of self-certified affidavits.

At present, there are several dealers who are not required to pay tax under any taxation act. Keeping this in view, small dealers, dealing in tax-free goods, are to be exempted from registration and departmental purview under VAT Act, the chief minister said.

Small dealers having annual turnover of upto Rs 10 lakh are exempted from registration under VAT Act. This limit would be increased to Rs 20 lakh. The rationalisation would exempt nearly 20,000 small dealers from the department's purview.

Stamp duty will not be charged for exchange of plots and buildings of same value in the state; in case of difference in the value, stamp duty at 5% of the difference will be levied.

The Raman Singh government has given special stress on the agriculture sector. A provision of Rs 8,459 crore has been made for the agriculture and allied sectors. The outlay includes Rs 4,102 crore for agriculture and horticulture, Rs 422 crore for veterinary, Rs 288 crore for cooperatives, Rs 1,987 crore for irrigation and Rs 458 crore for agricultural pumps.

The government had earmarked Rs 2,400 crore for providing incentives to the farmers at the rate of Rs 300 per quintal for the paddy procured during the kharif marketing season 2013.  

 

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First Published: Feb 08 2014 | 4:35 PM IST

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