Maharashtra VAT Rules

Maharashtra Govt notifies amendment to Rule 58 of MVAT Rules, consequent to SC’s L&T ruling on VAT levy on construction activity; Such amendment shall be deemed to be in force w.e.f June 20, 2006; Cost of land to be excluded from total contract price while determining sale price of goods by way of percentage deduction in case of works contracts as well as construction contracts; Where it is proved that actual cost of land is higher than that determined as per Annual Statement of Rates guidelines, such actual cost shall be deducted and excess tax paid shall be refunded; Further, prescribes valuation rates determining stage of construction at the time of entering into contract with purchaser of flat / dwelling; Where such stage is unascertainable, full value of goods (post applicable deductions) shall be taxable : MVAT Notification