MVAT - TAX COLLECTED AT SOURCE (TCS)

Section 31A, inserted w.e.f. 1st May 2012, provides for tax collection at source by certain notified persons in certain circumstances. Accordingly a Notification, No. VAT 1512/CR 149/Taxation-1 has been issued on 15th February, 2013, which specifies that the District Collector or Cantonment Board, or any other authority under the Central Government or State Government, as the case may be, having jurisdiction over the area, shall collect tax at source @ 10% of the auction amount of right to excavate sand, etc., from the person or dealer who has been awarded the right to excavate.