New Delhi, May 07: With only nine states prepared for implementing Value-added Tax from June, the Chairman of the Empowered Committee, Asim Dasgupta on Wednesday met Finance Minister Jaswant Singh to discuss ways of putting in place the new tax regime at the earliest and asked the Centre to expedite clearance of state VAT legislations. "Only nine states are ready with their VAT Bills," Dasgupta said after the meeting, adding that seven other states were in an advanced stage of firming up their VAT Bills.
He declined to comment on whether the deadline for VAT would be extended as the Centre was not in favour of a "patch-work" approach of implementing VAT, which is expected to improve revenue collection of states.
Finance Ministry sources said states have been advised to send their VAT Bills within this week, as it takes a minimum of 21 days to get President's nod.
Sources said the VAT Bills of states differed from the model Bill circulated by the Centre and hence the delay in getting Presidential assent.
Bureau Report