Sales Tax Review

October  2006

Important Trade Circulars

No.VAT-1006/33/Adm/3

Sir/Gentleman/Madam, 

          Designations of the officers under Bombay Sales Tax Act, 1959 have been changed after implementation of Maharashtra Value Added Tax Act, 2002 (Mah. IX of 2005).  Designations of the officer under B.S.T. Act, 1959 and their corresponding designations under Maharashtra Value Added Tax Act, 2002 have been notified in the Gazette dated 14^th July 2005.  Trade Circular dated 6^th August 2005 in this respect has also been issued. 

2. Certain queries have been received that there is no uniformity in using designations by departmental officers while passing assessment orders under B.S.T.Act, 1959 or the other repealed Acts.  This creates difficulties particularly in determination of jurisdiction of appeal.
    

3. In this regard, attention is drawn to section 97 of Maharashtra Value Added Tax Act, 2002, which reads as under: 

“Section 97:  Construction of references in any repealed law to officer, authorities etc.  Any reference in any provision of any law now repealed by this Act to an officer, authority or Tribunal shall for the provisions contained in section 96 be construed as reference to the corresponding officer, authority or Tribunal appointed or constituted by or under this Act; and…….” 

4. The assessment orders under the repealed Acts are now being completed by virtue of the provisions contained in section 96 of MVAT Act, 2002.
    

5.  In this connection, it is clarified that all the departmental authorities should use their respective designations under the MVAT Act, 2002, in order to maintain uniformity while passing assessment orders or any other orders  under the repealed Acts.  Additionally, as an abundant clarity,  care should be taken to mention, especially in the appeal/ revision orders, the old designations of the authorities whose order is in appeal/ revision and the new designation in bracket (viz. Sales Tax Officer Class-I) [now designated as Asstt.Commissioner] etc.)  wherever such reference is required to be given. Similarly, while issuing demand notice under the repealed Acts, designations of appellate authority under MVAT Act, 2002 should be mentioned without fail.  This will avoid needless confusion among taxpayers.
    

6. 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.
    

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

Yours faithfully,
(B. C. Khatua)
Commissioner of Sales Tax
Maharashtra State, Mumbai.