Ease of Doing Business
Commercial Tax Department
STARTING A BUSINESS
1.1. No Physical Touch point
1.2. The threshold limit for registration is Rs 5 Lakh.
1.3. Dealers having turnover below Rs 50 lakh have an option to avail the Compounding scheme. Dealers who opt for this scheme do not have to prepare accounts. They have to submit the return annually and deposit tax equal to 0.5% of the turnover on quarterly basis.
1.4. Offline tool for submitting the Registration application hence no need of continuous internet connectivity.
1.5. A Single application form for the submission of application of VAT and CST both.
1.6. Online Payment of Registration fees(VAT/CST/EntryTax)-- https://secure.up.nic.in/comtax/unregistereddealer/mainmenu.aspx
1.7. Facility of uploading the self-attested scanned copy of the relevant documents hence no need to come to the office for document submission.
1.8. Comprehensive list of documents available at---- http://comtax.up.nic.in/Documents/index.htm.
1.9. Comprehensive list of documents also given in offline PDF tool for VAT/CST/Entry Tax/TDN/SPN registration.
1.10. TIN is granted on the same day in case of Non sensitive goods and sent at the e mail ID and mobile no. given by the dealer in the registration form. http://comtax.up.nic.in/Circulars/2013-14/Circular_no_1314048.pdf
1.11. In case of sensitive goods, TIN will be granted after survey (Maximum 15 days).
1.12. Registration certificate are sent through registered post at the dealer’s principal place of business.
1.13. Facility of online tracking of application with Acknowledgement ID. http://22.214.171.124/EREGISTRATION/User_Status.aspx
1.14. Acknowledgement through e mail and sms.
1.15. Monitoring of the applications is done through MIS reports available behind user login.
1.16. Third party verification is available in the departmental portal.
1.17. The department has designed and implemented an online system for identifying establishments that need to be inspected based on computerized risk assessment
1.18. Dealer can download Registration Certificate as well as the Registration Inspection report from their secured e-Services Login.
2. DEALER SEARCH FACILITY ON THE COMMERCIAL TAX PORTAL
2.1. Click on Dealer/Commodity Search link on the portal
2.2. User can select the location of dealer from the drop down. If location information not available the ''All Locations'' can be selected.
2.3. Dealer can be searched from one of the following parameters--
§ Tin No
§ PAN No.
§ Dealer Name
§ Dealer Address
§ Firm Name
2.4. On clicking Submit button following information will be displayed--
TIN (Registration Date)
Entry Tax Status
RUNNING THE BUSINESS
3.1. Basic principle- A correct and complete return shall be filed.
3.2. VAT, CST and Entry tax (with Annual Return) returns can be filled online.
3.4. Dealers having turnover above Rs.25 lakh must file their return online.
3.5. Return is acknowledged instantaneously.
3.6. Return can be filed anywhere any time (24X7).
3.7. Offline tool for submitting the Return hence no need of continuous connectivity.
3.8. Acknowledgement through e mail and sms.
3.9. Compounding dealers have to file their return annually hence less compliance cost for smaller dealers.
4.1. An electronic payment system enables business to deliver, receive and process Tax payment on Anytime Anywhere basis.
4.2. VAT,CST and Entry tax can be paid online.( https://secure.up.nic.in)
4.3. Paper-based payment processes present significant challenges to large organizations, stalling efficient workflows due to heavy reliance on labour-intensive processes and data entry. Businesses that go paperless by implementing an electronic payment system realize enormous process efficiencies and cost-savings benefits.
4.4. e-payment facility is available through 14 Authorized banks, SBI payment gateway (with 54 banks) and SBI debit card.
4.5. More than 70% of tax in 2015-16 has been submitted through e-Payment facility.
5. FACILITATING E SERVICES THROUGH COMMERCIAL TAX FACILITATION CENTRE (CTFC)
5.1. NSDL e-Governance Infrastructure Limited (NSDL) to provide following e-Services for VAT,CST and Entry Tax
5.2. Services will be provided at the rates approved by the Government
5.3. Presently 318 centers spread across 82 locations provide e-Services.
6. Tax Helpline
6.1. Common helpline for Commercial Tax, Entertainment Tax and Luxury Tax.
24*7 helpline- Sampark
Kendra No. 0522-2721944/ 3312600
7. VAT refund payment
VAT refund payments directly come into Dealers account within 30 days
Janhit Guarantee Act, 2011
(http://adminreform.up.nic.in/Lok%20Sewa%20Prabhandhan%20Deptt/GO.pdf/LSPV%20JGA%20NOV%20TWENTY%20SEVEN%20THIRTEEN%20ENGLISH.pdf) (Commercial Tax Department At serial No 29)
8. System for risk based audit related to tax compliance
The dealers are selected online on the basis of the Risk parameters for scrutiny as well as Tax Audit.
(Audit parameters mentioned in circular) &
9. Advance Tax Ruling
v Available on website
v URL -- http://comtax.up.nic.in/section_59/index_sec59_yearwise.htm
10. Inspection Procedure
10.1. Well defined inspection procedure is available at URL http://comtax.up.nic.in/Documents/pravartan_inspection.pdf
10.2. In paragraph 14 of the above mentioned document it is mentioned that the primary report will be submitted in 24 hrs to the department.
10.3. The inspection reports on businesses are available in the e services login of the dealers.
11. PROTECTING SMALL TRADERS
v Dealers having turnover below Rs 50 lakh have an option of the Compounding scheme. Dealers who opt for this scheme do not have to prepare accounts. They have to submit the return annually and deposit tax equal to 0.5% of the turnover on quarterly basis.
v No Assessment for dealers having annual turnover below Rs. 50 Lakh. Commissioner, Commercial Tax will selectively scrutinize dealers based on risk profiling.
v Once registered Dealer gets eligible for Rs 5 lakh Accidental Insurance.
These measures have ensured a hassle-free environment for small traders. Social security measures add attractiveness to the entire processes. This encourages entrepreneurship and protects small traders.
TRADING ACROSS BORDERS
12. Online Transit Declaration System (Barrier free Movement)
v In order to promote free movement of goods, the department has abolished
Checkposts since 01 August 2009.
13. E - Sancharan
v E-Sancharan has been introduced to ensure hassle-free movement of goods and curb tax evasion from 1-12-2013.
v Movement of goods to be carried out by generating unique online number called “Vishisht Sancharan Number “.
v e-Sancharan facility available for all the commodities.
v Dealers are to enter online details of goods on the Department. Website to generate “Vishisht Sancharan Number “.
v Form-38 is not required physically.
v Enforcement Officer can conduct online verification of “Vishisht Sancharan Number“.
v Facility of online tracking of application with Acknowledgement ID.
v Acknowledgement through e-mail and sms reflects commitment to transparency and responsiveness.
14. e-Forms (For Central Sales Tax Act 1956)
v For free movement of goods across the country, the CST Act has given tax concession and exemption on interstate sales subject to the condition that the buying/ receiving dealers furnish to the sellers declaration /certificates obtained from the VAT authorities.
v This ensures accounting of transactions and payment of tax to importing State.
v Dealers can download the form Anytime Anywhere (24X7).
COMPREHENSIVE ONLINE NOTICE AND ASSESSMENT SYSTEM
15. Online Notice and Assessment module
v All the assessment notices and orders are being issued online 01 August 2014 onwards.
v Unique Assessment order Number for all Orders
v Unique RC (Recovery Certificate) number for all demands
v By using order number- status of post-assessment proceedings of any order can be Tracked/Monitored.
v As the order or notice is generated, dealer is intimated through e mail and sms.
v The orders and notice also become available online at the e-services login of the dealer.
v Monitoring of the quantity of disposal and quality of orders can be done online.
16. Deemed Assessment
v Online process for selection of dealers to be assessed as deemed.
v Real time publishing of selected dealers on the departmental website.
v Dealers can generate their order online from the website.
17. Online Public Grievance Redressal System
v Central Grievance Redressal Cell (CGRC) at the H.Q. and Zonal Grievance Redressal Cell (ZGRC) at the Zonal H.Q.
v Grievances can be registered 24X7 in following ways-
§ Online registration of grievance
§ Through sms at 9935901889
§ Through e mail -- firstname.lastname@example.org
§ Through telephone at 0522-2721153
§ Sampark Kendra No. 0522-2721944/0522-3312600
v Time-bound redressal by the Officer Concerned.
v Grievance redressal to be monitored at Zonal & Headquarter Level through online MIS reports.
v Facility of online tracking of application with Acknowledgement ID.
v Acknowledgement through e mail and sms.