In the Budget for FY 2016-17, the Government of Rajasthan (GOR) has introduced VAT @ 5.50% on Semi Stitched Garments including w.e.f. 08-03-2016 along with a requirement of Form 40A (Road Permit) for importing these items from outside the state of Rajasthan.<\/p>\n
After several representations being given to the GOR in this matter by the Industry, the Government has issued several notifications for giving relief to the Industry noted as below:-<\/p>\n
1. Notification No. F.12(80)FD\/Tax\/2014-07 dated 06-05-2016 : Exempted VAT on Semi-Stitched garments for the period from 08-03-2016 to 31-03-2016;<\/p>\n
2. Notification No. F.12(80)FD\/Tax\/2014-08 dated 06-05-2016 : The term Semi-Stitched Garments has been removed from S. No. 112 (covering Readymade Garments) of the Schedule IV (Rate of VAT 5.50%) of the Rajasthan VAT Act, 2003;<\/p>\n
3. Notification No. F.12(80)FD\/Tax\/2014-09 dated 06-05-2016 : A new category comprising of “Semi-Stitched Garments, namely:- (i) Semi-Stitched Lehnga Sets and (ii) Semi-Stitched Salwar Suits, Kurta\/Kurti” <\/em>has been introduced at S. No. 25 of the Schedule\u00a0VI of the Rajasthan VAT Act, 2003 with a special Tax Rate of 0.65%<\/strong><\/span>;<\/p>\n It has been further\u00a0explained that – “Semi-Stitched” means garments having one or more part(s) that has been cut to shape and\/or is partially stitched.<\/p>\n 4. Notification No. F.12(80)FD\/Tax\/2014-10 dated 06-05-2016 : A composition scheme has been introduced w.e.f. 01-04-2016, under section 5 of the Rajasthan VAT Act, 2003 read with Rule 17A for the Registered Dealers engaged in sale of Semi-Stitched Garments – Rs.<\/strong> 1300\/- for every Rs. 2 Lakhs<\/strong><\/span> or part thereof, of the Turnover of Semi-Stitched Garments;<\/p>\n 5. Notification No. F.12(80)FD\/Tax\/2014-11 dated 06-05-2016 : A relief has been granted to the Dealers of Semi-Stitched Garments from applicability of the Road Permit (Form 47\/ 47A) requirement for importing Semi-Stitched Garments within the state of Rajasthan from outside by removing the term “including Semi-Stitched Garments” at S. No. 40 of the said list of items\u00a0covered under the\u00a0Road Permit requirement.<\/p>\n It is important to note that the above benefits are restricted to Semi-Stitched Garments only and does not cover Other Readymade Garments in their purview.<\/p>\n For any help, query or assistance, you may send a mail to CA Ritul Patwa on rp@ritulpatwa.com or call on M – 09001231231.<\/p>\n","protected":false},"excerpt":{"rendered":" In the Budget for FY 2016-17, the Government of Rajasthan (GOR) has introduced VAT @ 5.50% on Semi Stitched Garments including w.e.f. 08-03-2016 along with a requirement of Form 40A (Road Permit) for importing these items from outside the state of Rajasthan. After several representations being given to the GOR in this matter by the …<\/p>\n