Mumbai: The Legislative Assembly on Saturday cleared a Bill amending eight Acts in conformity with the Constitution (one hundred and one amendment) Act, 2016 which has changed taxation powers vested with the Central and State governments.
The Maharashtra Goods and Services Tax (Amendment, Validations and Savings) Bill, 2017, which was passed unanimously, has amended the Mumbai Municipal Corporation Act (provisions relating to Octroi deleted), Maharashtra Entertainments Duty Act (As per new entry 62, the panchayat or a municipality or regional or district council is empowered to levy and collect tax on entertainments and amusements), Maharashtra Municipal Corporations Act, the Maharashtra Village Panchayats Act and Maharashtra Municipal Council, Nagar Panchayats and Industrial Townships Act, 1965 (provisions related to octroi, cess and LBT are proposed to be deleted), Maharashtra Motor Vehicles Tax Act (definition of cost of vehicle is amended to include GST component), Maharashtra State Tax of Professions, Trades, Callings and Employment Act, 1975 (amended so that dealers registered under the Maharashtra GST Act are liable to pay professional tax) and the Maharashtra Value Added Tax Act, 2002 (which empowers the State to levy taxes on sale of petroleum crude, high speed diesel, petrol, natural gas, aviation turbine fuel and alcoholic liquor).
While the Assembly cleared this Bill along with the one paving way for compensations to municipal corporations, the all-important Bill for the Maharashtra Goods and Services Tax Act, 2017, will be discussed on Sunday.
This Act will clear the path to levy GST on all intra-State supplies of goods or services or both, except on the supply of alcoholic liquor for human consumption. The administration to be formed under this Act will include a State Tax Commissioner.
“The proposed legislation will simplify and harmonise the indirect tax regime in the country. It is expected to reduce cost of production and inflation in the economy, thereby making the Indian trade and insutry more competitive, even internationally,” said Finance Minister Sudhir Mungantiwar.
The government claims the proposed Act will broaden the tax base and result in better tax compliance due to robust information technology infrastructure.
