Mumbai/Nagpur: Motor Vehicle Tax enhanced on two wheelers and three wheelers owned by individual.
The finance minister, Sudhir Mungantiwar of Maharashtra government presented state budget in the state assembly for 2016-17. The finance minister has announced the hike in VAT tax rate to 5.5% from 5%. The major budget proposals are as follows:
* Motor Vehicle Tax enhanced on two wheelers and three wheelers owned by individual. Tax to be based on engine capacity –
* Institutional and Imported Vehicles to be subjected to double the rate of tax.
* The VAT composition tax rate raised from 5% to 8% to hotels and restaurants having turnover of sales Rs 3 Crore and more.
* Levy of Entry Tax on Marble and Granite slabs.
* Increase in Lottery Tax on the draws of Lotteries.
* VAT tax on Coconut hair oil sold in pack upto 500 ml enhanced to 12.5%.
* Warping and Sizing of Yarn for promoting the TextileIndustry.
* Mammography machines used for detection of breast cancers exempted.
* Retrofit kit fitted to vehicles for physically handicapped
* Bamboo Products excluding Bamboo furniture.
* Sterile water for injections from 12.5% to 5.5%.
* LED Tubes reduced from 12.5% to 5.5%.
* Pyrolysis Oil reduced from 12.5% to 5.5%.
* Steel Wire Mesh, Barbed Wire and Chain links reduced from 12.5% to 5.5%.
* Pencil Box, Stapler pins, Dusters, Gum and Gum-sticks used by student reduced from 12.5% to 5.5%.
* Levy of Sugarcane Purchase Tax for 2015-16 for sugar exporting factories
* Profession Tax exempted to armed personnel of CRPF and BSF.
* Establishment of Advance Ruling Authority for speedy disposal of disputed questions under Sales Tax Laws.
* Input Tax Ledger to be made available to the tax payer.
* Pilot Project will be started by Sales Tax Department for implementation of Digital Billing system.