Key highlights of the Maharashtra budget

Key highlights of the budget are as follow:

Deputy Chief Minister and Maharashtra Finance Minister Ajit Pawar today presented Maharashtra's budget for 2013-14.
Total tax proposals to mobilize at Rs 1,150 crore
 
Increase in tax rate of gold, silver and their jewellery hiked from 1% to 1.10% for one year due to prevailing drought conditions
 
Increase in sugarcane purchase tax from 3% to 5% to raise fund for drought relief for one year
 
Tax on cigarettes hiked from 20% to 25%
 
Increase in tax on bidi from 5% to 12.5%
 
Unmanufactured tobacco to be taxed at 12.5%
 
5% levy on textile for industrial use
 
Rise in tax on certain powder, cubes and tablets from which non alcoholic beverages are prepared to 12.5% from 5%
 
Increase in tax on Paver blocks from 5% to 12.5%
 
Increase in tax on Lottery: Tax on weekly lottery will be Rs 60,000, Tax on fortnightly lottery scheme or any lottery scheme between a week and a fortnight Rs 1,25,000, Tax on monthly lottery scheme or any lottery scheme of any duration exceeding fortnight Rs 2,50,000
 
Financial Institutions liable to pay stamp duty on mortgage deeds
 
Rounding off fractions in stamp duty payable.
 
If agreement to sale is registered by paying proper stamp duty by treating as deemed conveyance deed will be charged with Rs 100 stamp duty
 
Increase in excise duty on Country Liquor to Rs 110 per proof litre from Rs 95 per proof litre,

Excise duty on Indian Made Foreign Liquor hiked from Rs 240 per proof litre to Rs 300 per proof litre,

On fragmented strong beer Rs 60 per bulk litre or 200% per cent of the manufacturing cost whichever is higher. Earlier rate on fermentes strong beer was Rs 42 per bulk litre or 175% of manufacturing cost whichever is higher
 
Increase in export fee on Indian Made Foreign Liquor (IMFL) having maximum retail price less than Rs 500 to Rs 3 per bulk litre from Re 1 per bulk litre
 
Export fee on IMFL having maximum retail price of Rs 500 or more is Rs 5 per bulk litre. It will now be increased to Rs 10 per bulk litre.
 
Tax Mobilisation to surge
 
Sales Tax & VAT Rs 62,422 crore in 2013-14 compared to Rs 53,361 crore in 2012-13

Amnesty Scheme for Service Tax Defaulters

Voluntary Compliance Encouragement Scheme, 2013 (VCES) – To motivate about 10 lakh of those registered assesses of service tax, who are not filing returns and paying tax dues, the Finance Minister has proposed to introduce a one-time scheme called ‘Voluntary Compliance Encouragement Scheme’ in 2013-14 Budget proposals. Under this scheme a defaulter can file a truthful declaration of service tax dues since 1st October, 2007 and make the payment in one or two installments before prescribed dates. In such a case, interest, penalty and other consequences will be waived.1 Scheme is proposed to be introduced to encourage voluntary compliance with the following main features:

(i) The scheme can be availed of by non-filers or stop-filers or persons who have not made a truthful declaration in their return. However it will not be applicable to persons against whom any inquiry or investigation is pending by the issue of search warrant or summon or by way of audit;

(ii) The defaulter will be required to make a truthful declaration of all his pending tax dues (from October1, 2007 to December 31, 2012) and pay at least half of that before December 31, 2013; remaining half to be paid by:

(a) June 30, 2014 without interest; or

(b) By December 31, 2014 with interest from July 1, 2014 onwards;

(iii) On compliance with all the requirements the person will have immunity from interest (as specified), penalties and other proceedings;

2 The scheme will come into force when the Finance Bill is enacted. It is clarified that the tax-payers will need to settle their dues for the period after December 31, 2012 under the present law.

Link to Download Service Tax Voluntary Compliance Encouragement Scheme,2013 - 

http://taxguru.in/wp-content/uploads/2013/03/bill6.pdf