In exercise of the powers conferred by sub-section (3) of section 8 of the Rajasthan Value Added Tax Act, 2003 (Act No. 4 of 2003), and in supersession of this Department's notification No.F.12(63)FD/Tax/2005-80 dated 11.08.2006, as amended from time to time, the State Government being of the opinion that it is expedient in the public interest so to do, hereby, with effect from 01.10.2013, exempts from payment of tax the registered dealers engaged in execution of works contract, leviable on the transfer of property in goods (whether as goods or in some other form) involved in the execution of works contract(s) subject to the following conditions, namely:-

(1) That such dealer may opt for payment of exemption fee in lieu of tax payable on the transfer of property in goods (whether as goods or in some other form) involved in the execution of works contract and for this purpose he shall submit the application in Form WT-1 appended to this notification, electronically through the Official Website of the Department duly digitally signed by the dealer within sixty days from the dale of the award of the works contract, along with the self attested and legible scanned copy of Work Order and G-Schedule, to the Assessing Authority or the Officer authorized by the Commissioner in this behalf. In case the works contract is of the nature that the cost of material does not exceed five percent of the total contract amount, a self attested and legible scanned copy of Certificate from the Awarder to this effect shall also be submitted along with the application. Where the application in Form WT-1 is not digitally signed, the dealer shall furnish the acknowledgement generated through the Official Website of the Department duly verified by himself or his business manager by affixing his signature on it within ten days from the date of submission of application and failure to do so shall be deemed to be a case of non-submission of application in Form WT-1.

(2) Where the dealer fails to furnish the scanned copy of Work Order and / or G Schedule and / or certificate of the awarder, as the case may be, along with the application, the dealer shall furnish the acknowledgement generated through the Official Website of the Department duly verified by himself or his business manager by affixing his signature on it along with the hard copies of Work Order and / or G-Schedule and / or certificate of the awarder, as the case may be. within ten days from the date of submission of application under clause (1) to his Assessing Authority or the Officer authorized by the Commissioner in this behalf, and failure to do so shall be deemed to be a case of non-submission of application.

(3) The assessing authority or any officer not below the rank of an Assistant Commercial Taxes Officer authorized by the Commissioner in this behalf shall reject the application for exemption certificate, where,-

(a) the applicant dealer has failed to comply with an order demanding initial or additional security under section 15 of the Rajasthan Value Added Tax Act. 2003 and/ or sub-section (2A) of section 7 and / or under sub-section (3A) of section 7 of the Central Sales lax Act, 1956; or

(b) the applicant dealer has failed to furnish any return or returns in accordance with the provisions of the Rajasthan Value Added Tax Act, 2003 and the Central Sales Tax Act, 1956 for the immediately preceding two years.

On rejection of the application the dealer may apply afresh for the same, within the time specified in clause 1 above, on fulfillment of the above requirements.

(4) Subject to the provisions of clause (3) above, the Assessing Authority or the Officer authorized by the Commissioner in this behalf, on being satisfied that the application is complete in all respect, shall issue exemption Certificate in form WT-2 appended to this notification in the manner as provided in the official Website of the Department within twenty one days of submission of the application.

(5) The dealer shall submit separate application in Form WT-I. for payment of exemption fee in lieu of lax payable on the transfer of property in goods (whether as goods or in some other form) involved in the execution of works contract, for each work order separately.

(6) Where any excess payment is made lo such dealer by the awarder for any additional work or value of the contract is enhanced in relation to the works contract for which exemption certificate has already been issued, the exemption certificate shall be revised accordingly on submission of an application in form WT-4 along with documentary evidence in this regard issued by the awarder, within sixty days of such communication from the awarder, and a revised Exemption Certificate shall be issued to the dealer through the Official Website of the Department.

(7) Where the dealer fails to submit the application within the time provided in clause (1) or in clause (6), he may be allowed to submit the same, on payment of late fee mentioned below, along with an application in form WT-3 appended lo this notification to condone the delay mentioning therein the details of payment of late fee.

(8) No application under this notification shall be entertained after expiry of two years from the date of award.

(9) That such dealer shall pay exemption fee at such rate as may be notified by the Stale Government from time to time in Column Number 3 of the List given below clause 14 of this notification in the following manner:-

(i) Where an awarder is a Department of any Government, a Corporation, a Public Undertaking, a Co-operative Society, a local Body, a Statutory Body, an Autonomous Body, a Trust or a Private or Public Limited Company, an amount calculated at the rate as specified in Column Number 3 of the list given below clause 14 of this notification shall be deducted by such awarder from each bill of payment to be made in any manner to such dealer and all the provisions of payment of tax provided in the Act or the rules made thereunder for such dealer shall mutatis mutandis apply. In case such dealer has already received some payment for execution of works contract from the awarder before filing application, he shall enclose proof of payment / deduction of notified exemption fee on such payments, along with interest, if any, up to the date of filing of application, under this notification.

(ii) Where the awarder is not covered under sub-clause (i) above, such dealer shall be required to make payment of exemption fee in equal monthly installments in a period not exceeding the period of contract from the date of filing of application. In case such dealer has already received some payment for execution of works contract from the awarder, he shall enclose proof of payment of notified exemption fee on such payments, along with interest up to the date of filing of application, under this notification.

(iii) The amount already deducted by the awarder in lieu of tax from bill of payments to the dealer before the issuance of this notification shall be adjusted against the exemption fee.

(10) That such dealer shall not be entitled to claim input lax credit in respect of the goods used in execution of the works contract for which exemption certificate has been issued.

(11) That the certificate of exemption shall be liable to be cancelled by the assessing authority retrospectively.-

(i) if it is found that the same has been issued in contravention of the provisions of the Act, rules or notification; or

(ii) the dealer has concealed any lacks regarding the works contract awarded to him.

(12) That the tax collected or charged, if any, by such dealer shall be deposited to the State Government and tax so deposited shall not be refunded or adjusted against the exemption fee.

(13) The exemption certificates issued under notification No.F.12 (63) FD / Tax / 2005-80 dated 11.08.2006. as amended from time to time, shall be deemed to have been issued under this notification.

(14) In case the rate of exemption fee is changed under this notification, the rate of exemption fee shall be the rate as mentioned in Column Number 3 of List given below, as is applicable on the date of submission of application.-

(i) for grant of exemption certificate; or

(ii) under clause 6 of this notification.

LIST

(See clause 9)

FORM WT 1

Application for grant of Exemption Certificate under notification No. F.12 (101) Fl) / Tax / 2011-59 Dated 13-08-2013

To

The Assistant Commissioner/

The Commercial Taxes Officer,

Circle _________________

1. Name of the Applicant.

2. Name and address under which the applicant carries on business.

3. Registration Certificate No. (TIN)......................

4. e-mail address:..........................................

5. Mobile No:.....................................

6. Status of the applicant such as Proprietor / Partner / Director / Karta of H.U.F. / Manager / Secretary.

7. Period during which works contract be executed: from............to...........

8. Particulars of works contract (s):

I/we hereby undertake that if I/we fail to abide by any of the terms and conditions of the Notification No. F.12 (101) FD /Tax / 2011-59 Dated 13- 08-2013 or any provisions of the Act or Rules, I/we shall pay tax on the sale or purchase of such goods in accordance with the provisions of the Act. I/We also undertake to pay the revised exemption fee in case Exemption Certificate is revised.

I/we declare that the information given above is true and correct to the best of my/our knowledge and belief and nothing material has been concealed.

Attachments:

1. Scanned copy of work order.

2. Scanned copy of G-Schedule.

3. Scanned copy of certificate of awarder, if applicable.

4. Proof of payment of late fee. if applicable.

____________________________________________________________________________

ACKNOWLEDGEMENT

Received from M/s_______________________ Registration No. (TIN) __________________ Form No. WT-1 for the works contract (description of the contract _____________________ awarded by M/s. _______________ for Rs. __________ for the period from ___________ to _____________ with following enclosures -

1.

2.

Original / Revised

FORM WT 2

(See clause 4 & 6)

Exemption Certificate under notification No F.12 (101) FD/Tax / 2011-59 Dated 13-08-2013

1. ID No................ dated..................

2. Name of Applicant with status.

3. Name and address of business.

4. Registration Certificate No. (TIN)

5. Details of the works contract and exemption

6. This certificate shall remain in force (till the completion of works contract unless cancelled or revoked earlier.

Exemption Certificate issued vide ID No................ dated.......... has been revised on the application of dealer dated .........under clause 6 of the notification No F.12 (101) FD/Tax / 2011-59 Dated 13-08-2013.

Form WT-3

(Sec clause 7)

Application to condone the delay under notification No F.12 (101) FD/Tax/ 2011-59 Dated 13-08-2013

To

The Assistant Commissioner /

The Commercial Taxes Officer,

Circle.............

1. Name of the dealer

2. TIN...................

3. Principal place of business...................

4. Date of award of works contract...................

5. Dale of submission of application.................

6. Period of delay.......................................

7. Reasons for delay....................................

8. Details of deposit of late fee.......................

Form WT-4

(See clause 6)

Application in case excess payment is made by the awarder

To

The Assistant Commissioner/

The Commercial Taxes Officer,

Circle.............

1. Name of the applicant

2. Name and address under which the applicant carries on business.

3. Registration Certificate No. ( TIN)......................

4. e-mail address:..........................................

5. Mobile No:.....................................

6. Status of the applicant such as Proprietor / Partner / Director Karta of H.U.F. / Manager Secretary.

7. Details of Form WT-2 received earlier.

8. Particulars of excess payment made in the existing works contract (s):

I / we declare that the information given above is true and correct to the best of my / our knowledge and belief and nothing material has been concealed and undertake to pay the revised exemption fee in accordance with notification No F. 12 (101) FD / Tax / 2011-59 Dated 13-08-2013

Signature of the applicant and his status.

Attachments:

1. Scanned copy of work order.

2. Scanned copy of G-Schedule.

3. Scanned copy of certificate of awarder, if applicable.

4. Proof of payment of late fee. if applicable.

Acknowledgement

M/s....................... Registration No. (TIN).................. have submitted form No.WT-4 for the works contract (description of the contract) ...........awarded by M/s............................... for Rs...................... for the period from .................... to....................... along with following enclosures:-

1.

2.

By order of the Governor,

(Aditya Pareek)

Joint Secretary to the Government