WHEREAS the Government of Gujarat is satisfied that circumstances exist which render it necessary to take immediate action to make the rules and to dispense with the previous publication thereof under the proviso to sub-section (4) of section 98 of the Gujarat Value Added Tax Act, 2003 (Guj.1 of 2005);

NOW, THEREFORE, in exercise of the powers conferred by section 98 of the Gujarat Value Added Tax Act, 2003 (Guj.1 of 2005), the Government of Gujarat hereby makes the following rules further to amend the Gujarat Value Added Tax Rules, 2006, namely :-

1. These rules may be called the Gujarat Value Added Tax (Fourth Amendment) Rules, 2007.

2. In the Gujarat Value Added Tax Rules, 2006, (hereinafter referred to as "the said rules"), in rule 20, in sub-rule (1), after the first proviso, the following proviso shall be added, namely:-

"Provided further that the registered dealer(other than the dealer furnishing return under sub-rule(3C) of rule (19) whose total turnover;

(a) does not exdeed rupees one crore, shall furnish annual return related to the year 2006-07 on or before the 31st August, 2007, or

(b) exceeds rupees one crore, shall furnish annual return related to the year 2006-07 on or before the 31st October, 2007."

3. In the said rules, in rule 37, to sub-rule(5), the following proviso shall be added, namely:-

"Provided that the Commissioner may grant provisional refund for an amount not exceeding ninety per cent of the amount claimed in the return furnished by the specified dealer, developer or co-developer of the Special Economic Zone in the circumstances specified above."

4. In the said rules, in rule 44,-

(1) In sub-rule (1), for the words "shall contain", the words and figures "shall be in Form 217 and shall contain" shall be substituted;

(2) after sub-rule(2), the following sub-rule shall be added, namely:-

"(3) Every registered dealer whose total turnover in respect of any particular year exceeds rupees one crore shall get his accounts verified and audited by a specified authority."

5. In the said rules, in rule 51,-

(1) to sub-rule (1), the following proviso shall be added, namely :-

"Provided that where the dealer makes online application to obtain Form 402, the Commissioner may exempt the dealer from the payment of such fees."

(2) to sub-rule(2), the following proviso shallbe added,namely:-

"Provided that where the dealer makes an online application to obtain Form 402, the Commissioner may exempt the dealer from the payment of such fees."

6. In the said rules, after Form 216, the following Form shall be inserted, namely:-

"FORM 217

(See sub-rule(1) of rule 44)

Audit Report under section 63 of Gujarat Value Added Tax Act, 2003.

To

M/s.__________________________

__________________________

1. I/We have verified correctness and completness of the annual returns with reference to the books of accounts audited by me/us, and subject to my/our observations and comments mentioned hereunder and in the statement of particulars;- state that,

(1) In my/our view the books of accounts and other value added tax related records and registers maintained by the dealer are sufficient for verification of correctness and completeness of the annual returns. The dealer has maintained and preserved the accounts and records as per the requirement of rule 45 of Gujarat Value Added Tax Rules, 2006.

(2) The gross turnover of sales declared in the annual return includes all the transactions of the sales during the period of review.

(3) The gross turnover of purchases declared in the annual return includes all the transactions of purchases made during the period of review.

(4) The adjustment to turnover of sales and/or purchases is based on entries made in the books of accounts during the period of review.

(5) The deductions from the gross turnover of sales, including deductions on account of goods return, claimed in the returns are in conformity with the provisions of the relevant Act.

(6) Computation of tax payable as shown in the annual return is correct.

(7) Computation of input tax credit admissible in respect of purchases made during the period of review and adjustment to input tax credit claimed in the previous period is correct. The dealer has applied fair and reasonable method to determine input tax credit to the extent to which goods are sold, used, consumed or supplied or intended to be sold, used, consumed or supplied.

(8) Computation of incentive benefits (if any) is in confirmity of the provisions of the Act in this regard.

(9) Other information required to be furnished in the annual return is correct and complete.

2. For the purpose of verification of correctness and completeness of the annual return, as well as for the preparation of statement of particulars, we have relied on -

1. Books of Accounts for the year ended ..................................

2. Profit and loss Account and the Balance Sheet for the year ended .......................

3. Records / Registers relating to sales, purchases, stock, branch transfers, deductions, concessions, (List the records / registers verified)

4......................................................................................................................................... 5........................................................................................................................................

3. The following are the major changes made during the period of review (specify if any of the below or others)

1. Changes in the business status.

2. Change in the method of valuation of stock.

3. Changes in the accounting system.

4. .......................................................

4. Summary of the additional tax liability and/or additional refund due to the dealer, arising on verification of the value added tax annual return together with the books of accounts and other related accounts mentioned herein above, for the period under review is as follows.-

5. The dealer has been advised to -

(i) Pay differential tax liability of Rs.................... (Rupees .............................................)

(ii) Pay interest liability up to the time of payment.

(iii) Claim additional refund of Rs....................... (Rupees ..............................................)

(iv) Correct opening/closing balance of incentive benefits of Rs.........................

(Rupees.................................................)

Encl: 1) Statutory Audit Report with Profit and Loss Account and Balance Sheet.

2) Statement of other observations, comments and notes thereon.

3) Statement of other particulars as decided by the Commissioner through public circular.