All Dy. Commissioners,

All Assessing Authorities,

Commercial Taxes,

...........................

Sub: Allowing claims of ITC to the dealers after verification.

1. As per provisions of the RVAT Act, 2003 the claim of input tax credit is to be allowed only after verification of tax deposition.

2. In this regard the following directions are being issued for verifying the deposition of tax :-

(a.) ITC shall be allowed only after the successful verification of ITC claimed by the dealers from the system of RAJVISTA. Keeping in mind the provisions of section 31 of RVAT Act, 2003 this credit may be allowed in case the amount of ITC is mismatched upto the extent of nearest multiple of Rs. 10.

(b.) In some cases the mismatch has resulted because sales have not been properly included by the concerned selling dealer in their return VAT 10 and corresponding VAT 08A submitted to the department. A facility for submission of data for sale purchase mismatch reconciliation for the year 2011 -12 has been launched by the department and instructions regarding the said facility has been circulated vide circular no. F. 26( 197)ACCT/MEA/2013 Dated: June 9, 2014 have been issued. The selling dealers are allowed to submit change in sale detail through the facility provided on the web portal of the Commercial Tax Department up to 31st August, 2014. ITC may be granted if the selling dealers have requested for change in the sales details, as the RAJVISTA system shall not allow any selling dealer to mention more sales than that shown in the annual return,

(c.) Before granting ITC as above it should also be ensured for each case of match of ITC that the total sales shown by the selling dealer in the VAT 08A is less than or equal to the sales declared in the concerning return VAT 10.

(d.) A copy of the ITC match-mismatch report generated from RAJVISTA shall be kept on record before allowing such claims of ITC.

(e.) It is possible that even after 31st August, 2014, there are some cases of mismatch, an electronic system for verification of ITC through CTD offices shall be incorporated in RAJVISTA for such cases.

(f.) ITC shall not be allowed till deposition of tax as above is verified through RAJVISTA software.

(Sanjay Malhotra)

Commissioner,

Commercial Taxes Department,

Rajasthan, Jaipur.