Tax exemption on 2-3 wheelers

Lucknow, Dec 21 (UNI) Uttar Pradesh government has ordered exemption of trade tax on the sale of two and three wheelers and tractor without trolley purchased from the Saifai Mahotsav, starting today.

A notification regarding the exemption was issued last night by the government.

However, this year four wheelers were not given the exemption which had caused major revenue loss for the government in the previous years.

According to sources last year,the government exchequer suffered a revenue loss of over Rs 41 crore, of which the major portion of over Rs 22 crore were on the sale of four wheelers.

The government is expecting to give tax exemption to the tune of Rs 18 crore on the two and three wheeler vehicles this year during the five day event.

The notification, however, provides that the sale, delivery and payment shall be made at the event during the festival in the presence of the seller and purchaser. The expemption shall be confined to the retail sales and shall not be available to sales made by a dealer to another dealer.

The expemtions would also not be available on the sale of goods, with respect to which the tax has already been paid.

UNI MB SB RSC CS RK1255