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EXTENTION OF TIME FOR FILING AUDIT CERTIFICATE

The last date for filing audit report for the year 2006-07 is extended upto 31/12/2007 vide Notification No: (GHN-37) VAR-2007/ (13) dated 28th September, 2007 by inserting proviso to Rule 44(2) of the Gujarat Value Added Tax Rules.

Click to view Relevant Notification

OCTROI ABOLISHED FROM 15/11/2007

Octroi is abolished from midnight of 14/11/2007.

However, the state government is still to decide on how to offset the losses of Rs 1,600 crore that it would incur due to phasing out of this tax. The seven-member committee constituted for this is convinced of two options - increasing the value added tax by one per cent in the four per cent and 12 per cent slabs and levying cess on petrol, diesel, CNG and LNG.

Another problem to be addressed by the Government is the issue of about 10,000 workers employed in octroi related work with traders and transporters. Further people working at godowns outside city limits will have to find new jobs, as many traders may be now planning to move to godowns inside city limits.

It is reported that even after increasing the VAT slab rates, government would have to fund nearly 40 per cent of the total Rs 1,600 crore from its own exchequer. The VAT rate could also increase by 1.5 per cent instead of one per cent and that the government was planning to replace octroi on petrol with cess and it would be applicable in the entire state.