GOVERNMENT OF ANDHRA PRADESH
REVENUE (CT.II) DEPARTMENT
Memo.No.20355/CT.II(1)/2011-2 Dated:16th July, 2011.
Sub: APVAT Act, 2005 –Levy of VAT on sale of Textiles and Sugar – Amendment to Schedule-I & IV – Certain clarification – Issued – Regarding.
Ref: 1. Finance Act No.8 of 2011 w.e.f.1.4.2011.
2. G.O.Ms.No.932, Rev. (CT.II) Deptt., dt.8.7.2011 (w.e.f.11.7.2011)
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The Government of India vide reference 1st cited, have amended the 1st Schedule to the Additional Duties of Excise (Goods of Special Importance) Act, 1957 by omitting the commodities, Textiles and Sugar from the purview of levy of AED with effect from 1.4.2011.
2. The Government of Andhra Pradesh, vide reference 2nd cited, issued notification deleting textiles and Sugar from entries 45 and 46 of the 1st Schedule to the APVAT Act, and inserted Entries 127 and 128 in the IVth Schedule of the APVAT Act, 2005 respectively thereby levying VAT @4% with effect from 11.7.2011.
3. Since there has been ambiguity about the applicability of VAT on Textiles and Sugar with effect from 1.4.2011 till the date of coming into force of the said notification ie., 11.7.2011, the VAT levy on the two items (Textiles and sugar) except in cases where VAT on these commodities has been collected from the customers/buyers, by the Dealers shall be waived, VAT, if any collected, from the customers from 1.4.2011 to 10.7.2011 shall however be remitted to the Government Account.
ASUTOSH MISHRA
PRINCIPAL SECRETARY TO GOVERNMENT