In exercise of the powers conferred by Section 94 of the Odisha Value Added Tax Act,2004 (Odisha Act 4 of 2005), the State Government do hereby make the following rules further to amend the Odisha Value Added Tax Rules, 2005,namely:-

1. (1) These rules may be called the Odisha Value Added Tax (Amendment) Rules,2012.

(2) They shall come into force on the date of their publication in the Odisha Gazette.

2. In the Odisha Value Added Tax Rules,2005 (hereinafter referred to as the said rules), in rule 6, Clause(e) along with the proviso thereto shall be substituted by the following , namely:-

"(e) in case of works contract, the expenditure incurred towards-

(1) labour charges for execution of the works;

(2) amount paid to a sub-contractor for labour and services;

(3) charges for planning , designing and architect's fees;

(4) charges for obtaining on hire or otherwise machinery and tools used for the execution of the works contract;

(5) cost of consumables such as water, electricity, fuel etc. used in the execution of the works contract the property in which is not transferred in the course of execution of a works contract;

(6) cost of establishment of the contractor to the extent it is relatable to supply of labour and services;

(7) other similar expenses relatable to supply of labour and services ;

(8) profit earned by the contractor to the extent it is relatable to supply of labour and services:

Provided that where a dealer executing works contract, fails to produce evidence in support of such expenses as referred to above or such expenses are not ascertainable from the terms and conditions of the contract or the books of accounts maintained for the purpose, a lump sum amount on account of labour, service and like charges in lieu of such expenses shall be determined at the rate specified in the Appendix."

3. The Appendix to the said rules shall be substituted by the following Appendix, namely:-

"APPENDIX

(See rule 6)

By Order of the Governor

S. ROUT

Under-Secretary to Government