VAT unlikely in Pondy before Oct
VAT unlikely in Pondy before Oct
With the BJP-ruled states deciding to switch over to the Value Added Tax (VAT) regime from the next fiscal, pressure has been mounting from the Union Finance Ministry to implement VAT in Pondicherry.
With Assembly elections due in a few months time, the Union Territory may have to switch over to VAT after a new government assumes office in May 2006.
However, this may be done after the VAT Bill is passed during the budget session, which is likely to take place some time in July-August.
Following this, it would have to be sent for Presidential assent. Once it gets the nod, the government may give some time to the trade and industry before notifying the implementation.
The trade and industry players feel that it is unlikely to happen before October. Moreover, there could be opposition in implementation if Tamil Nadu does not switch over to the VAT regime.
More: newindpress.com