1.	Amendments to rule 2(F):-
		(1) The definition of Government Treasury contained in rule 2(f) of the BS.T. Rules, 1959, is amended. The scope of the definition is widened. The amended,definition of Governament Treasury is as below:-
		(f) "Government Treasury" means (I) As respects a dealer who is, or is liable to be, registered within the jurisdiction of an assessing authority in Brihan Mumbai and makespayment in the following manner-

	Name of the Bank for making payment	Mode of payment
	1	2(a)	2(b)
i)	The Reserve Bank of India Mumbai	Cash Or	By cheque
ii)	Any branch of the State Bank of India or any of its Subsidiary Banks as defined in the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959) situated in Brihan Mumbai which brand is notified from time to time ir the Official Gazette by the Commissioner of Sales Tax,	Cash Or	By cheque of any branch of any bank situated in Brihan Mumbai
iii)	Any branch of the State Bank of India or any of its Subsidiary Banks as defined in the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959) situated in Brihan Mumbai other than a branch notified under row no.(ii);	Cash Or	By cheque of the same branch.
iv)	any branch situated in Birhan Mumbai of a bank appointee by the Reserve Bank of India as its agent under the provisions of sub-section (1) of section 45 of the Reserve Bank of India Act, 1934 (2of l934);	Cash Or	By cheque of the same branch.
v)	any branch situated in Brihan Mumbai of a Bank, notified by the State Government for the purposes of this sub-rule after consultation with the Reserve Bank of India.	Cash Or	By cheque of the same branch.

	(II)	As respects a dealer who is, or is libale to be, registered within the jurisdiction of an assessing authority outside Brihan Mumbai,
		(A) where the principal place of business of the dealer is situated at the district headquarter? and makess payment in the following manner-

	Name of the Bank for making payment	Mode of payment
		2(a)	2(b)
i)	Reserve Bank of India, CBD Belapur where the principal place of business of the dealer issituated within the limits of the Muncipal Corporation of Navi Mumbai;	Cash or	By cheque.
ii)	the Reserve Bank of India, Nagpur where the principal place of business of the dealer is situated within the limits of muncipal Corporation of Nagpur;	Cash or	By cheque.
iii)	the treasury of the district where the principal place of business of the dealer within that jurisdiction is situated.	Cash Or	By cheque of the same branch.
iv)	any branch of the State Bank of India or any of its Subsidiary Banks as defined in the State Bank of India (Subsidiary Banks) Act/1959 (38 of 1959) situated at the District Head quarters which branch is notified from time to time in the Official Gazette bv the Commissioner of Sales Tax;	Cash Or	By cheque drawn on any branch of any bank trusted at the same district head quarter?
v)	any branch of the State Bank of India or any of its Subsidiary Banks as defined in the State Bank of India (Subsidiary Banks} Act 1959 (38 of 1959) situated at District Head quarters other than a branch notified under row NO (IV);	Cash Or	By cheque of the same bank.
vi)	any branch of a bank appointed by the Reserve Bank of India as its agent under the provisions of sub section (1) of section 45 of the Reservc Bank of India Act. 1934 (2 of 1934) situated at District Head quarters;	Cash Or	By cheque of the same bank.
vii)	any branch situated at district headquarters of a bank, notified by the State Government for the purposes of this sub-rule after consultation with the Reserve Bank of India.	Cash Or	By cheque of the same bank.

(B)

Where the principal place of business of a dealer is situated at a place other than the district headquarters and makes payment in the following manner

	Name of the Bank for making payment	Mode of payment
	(1)	2(a)	2(b)
i)	the treasury or sub-treasury as the case may be of the district or taluka, where the principal place of business of the dealer within that jurisdiction is situated;	Cash	---
ii)	any branch of the State Bank of India or any of its Subsidiary banks as defined in the State Bank of India (Subsidiary Banks) Act,1959 (36 of 1959) situated at a place other than the District Head- quarters which branch is notified from time to time in the Official-Gazette by the Commissionerof Sales Tax;	Cash or	By cheque drawn on any branch of any bank situated in the same taluka.
iii)	any branch of the State Bank of India or any of its Subsidiary Banks as defined in the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959) situated at a place other than the District Head-quarters other than a branch notified under row No.(ii);	Cash, or	By cheque of the same bank.
iv)	any branch of a Banks appointed by the Reserve Bank of India as its agent under the provisions of sub-section (l) of section 45 of the Reserve Bank of India Act, 1934; (2 of 1934} situated at a place other than the District Headquarters, which branch is notified from time to time in the Official Gazette by the Commissioner of Sales Tax situated at a place other than District Head- quarters;	Cash Or	By cheque drawn on any branch of any bank trusted at the same district head quarter?
v)	any branch situated at a place other than the District Headquarters of a bank, notified by the State Government for the purposes of this sub- rule after consultation with the Reserve Bank of India.	Cash Or	By cheque of the same bank.

		(III) As respects a non-resident dealer, the Reserve Bank of India, Mumbai. N.B. : It will be noticed that at several places, the amended definition requires some notifications to be issued either by the Commissioner of Sales Tax or by the State Government to notify names of new Bank and branches of different Banks. Until these notifications are issued, the existing branches of the existing Banks will continue to collect taxes as hitherto on behalf of the Government of Maharashtra.
	2.	Insertion of rule 2{f-1) :- in rule 2(f-l), a definition of "hundred percent export oriented unit " is inserted . The amendment is clarificatory in nature.
	3.	Amendment to rule 2 (f-a) :- In the existing definition of the Package Scheme of Incentives the following Schemes are added :- (i) the 1993 Package Scheme of Incentives for Tourism declared in the Government Resolution, Home Department (Tourism), No.MTC-1091/CR- 409/ (Tourism), dated the 30th November, 1993; (ii) the 1998- Power Generation Promotion Policy declared in the Government Resolution, Industries, Energy and Labour Department No:NCP-1097/CR- 57/Energy-7, dated the 12th March, 1998; (iii) the 1999 - New Package Scheme of Incentives For Tourism Projects declared in the Government Resolution, Home Department (Tourism), No MTC- 0399/CR.-142/Tourism dated the 8th July, 1999.
	4.	Insertion of rule 2(f-aa) :- A definition of "Permanent Account Number " is provided to make it clear that the expression is defined with reference to the Income Tax Act 1961.
	5.	Amendment of rule 3 :- (1) The process of preparing of (a) butter from cream or (b) ghee from butter is deleted prospectively from the list of "processes not amounting to manufacture".
	6.	Amendment of Rule 7 :- (1) In the first proviso to sub-rule (3) of rule 7, an amendment is made so that a dealer holding a certificate of entitlement under the Package Scheme "1998" power generation Promotion Policy" and having more than one place of business within the State can make a single application for obtaining a certificate of registration. (2) Rule 7 is further amended so that the dealer is required to furnish the Permanent Account Number allotted under the Income Tax Act, 1961 to the registering authority when he applies for registration under the Bombay Sales Tax Act, 1959. In the case of dealers, who voluntarily apply for registration under the Act, they are now required to furnish the Permanent Account Number, are required to have a Current Bank Account and produce proof of the same. The dealers applying voluntarily for registration will now also have to provide introduction from either a Registered dealer who is continuously registered for the last completed five years or an advocate, Sales Tax Practitioner, chartered accountant or a cost accountant. Modifications made in rule 7 regarding voluntary registrations will not be enforced for Registration Certificates granted prior to 13th August 2004.
	7.	Amendment to rule 10: - In the existing sub-rule (4) of rule 10, clause (b) is inserted. If the registration certificate of any dealer is cancelled because of the operation of sub-clause (ii) of clause (c) of sub-section (8) of section 22, then he will be required to surrender his copy of the registration certificate to the assessing authority within fifteen days of the date of receipt of the order cancelling the registration certificate.
	8.	Amendment to rule 17: - (1) Sub-rule (1) is amended in view of the amendment to section 50 of the Act. (2) The sub-rule (i) is added to rule 17 whereby the dealer is required to furnish the Permanent Account Number to assessing authority under sub section (2) of section 50 of the Bombay Sales Tax Act, 1959 for which Form N-13-I is prescribed. The dealer is requited to submit the Form N-13-I to the assessing authority within the time as prescribed below, (i) if the dealer is registered under the Bombay Sales Tax Act on 1st July 2004, then within 60 days thereof. (ii) if the application for registration is made on or after the date of effect of this rule, then at the time of application for registration and (iii) if the dealer does not hold Permanent Account Number on the date of effect of this rule, then within 15 days from obtaining such number.
	9.	Amendment to Rule 22 :- (1) By this amendment a proviso is added to sub-mis (4) so that the dealer having annual turnover of sales or purchases exceeding Rs. 40 lakh in any year will now be required to furnish Annexe-I along with the annual return in Form N-18A, N-185 or N-18C in the prescribed, proforma. (2) In view of the amended provision of sub-section (8) of section 22 of the Bombay Sales Tax Act, 1959 every registered dealer is required to file a separate return under the said section to the assessing authority having jurisdiction over his case. The return prescribed is in Form N-18D.
	10.	Amendment to rule 31AA and rule 31 B:- In view of the amendment to clause (12B) of section 2 of the BS.T. Act, 1959 rule 31AA and rule 31B are amended. In both of these rules, for the word SICOM the words"Directorate of Industries" are substituted or are added after the word SICOM.
	11.	Amendment to rule 32 and rule 33 :- These rules are amended to provide for the manner and time by which notice is to be served for the purpose of assessment under section 33 (6B). For the purpose of assessment under section 33(6B), a notice in form N-27-E shall be issued to the dealer and minimum time of 15 days shall be given to the dealer for responding to the notice.
	12.	Insertion of rule 36A and rule 36B :- (1) A new section 33D is introduced in the BS.T. Act, 1959 which enables the assessing authority to cancel the assessment order on the ground that the dealer did not attend on the last appointed day, if the dealer applies for cancellation of the assessment order on such ground. (2) Application for cancellation of such assessment order shall be in form. N-30AA and the order for cancellation of assessment order shall be in Form N-3Q-E, which are duly prescribed, under rule 36A and rule 36B respectively.
	13.	Amendment to rule 41D :- (1) By this amendment, a proviso is added to sub-rule (1) for apportioning the set-off between manufactured tax-free and taxable goods on the basis of their respective sale price and then making the appropriate reduction. (2) In sub-rule (2) in clause (iii), the condition of producing certificate in Form 31C is deleted as production of Form F has now become mandatory . (3) The existing rule (3) is now made applicable only to purchases effected on or before the 30th June 2004. (4) A new sub-rule (3A) is inserted to provide the manner in which retention shall be made while granting set-off under rule 41D with effect from 1st July 2004. The reductions as per the new sub-rule are as follows:- (i) three per cent, of the purchase price, when the manufactured goods are dispatched by the claimant dealer to his own place of business or his agent outside the State, (ii) two per cent, of the purchase price of capital assets , and their parts components and accessories. (iii) two per cent, of the purchase price when the dealer is manufacturing taxable goods, (iv) three per cent of the purchase price when the dealer is manufacturing tax free goods .
	14.	Amendment to rule 41F : - By this amendment a proviso is added to the effect that if during the process of manufacturing of goods covered under entry C-I-23 or C-II-100C scrap a produced whether or not the scrap is covered by the entry C-I-23 or C-II-100C then the set-off shall not be granted to the extent of sale price of scrap .
	15.	Amendment to rule 42M, 46A and 46C: - These are consequential amendments carried out in view of the withdrawal of VAT on iron and steel i.e. 1.5.2003.
	16.	Amendment to rule 44D : - The entry tax on import of certain goods under the Maharashtra Tax on the Entry of Goods into Local Areas Act, 2003 was brought into effect on 1st October 2002. Sometimes these entry tax borne goods are used in the manufacturing process or are exported. Hence rule 44D is amended so that the dealer can claim set off u/R 41D, 41F, 41G, 42AC and 43D treating the Tax on Entry of Goods paid on import of such. Purchases as a sales tax paid and accordingly subject to reductions if any, provided in the respective rules, set-off can be claimed in respect of the said entry tax.
	17.	Amendment to rule 61 : - (1) By this amendment, the appellate authorities are required to maintain certain registers showing particulars regarding filing of appeal and quantum of relief sought. (2) The appellate authorities arc required to fix the cases for hearing in any month in such a way that half of such cases will be the earliest filed appeals and balance will be from cases involving highest quantum of relief sought (3) In the case of MS.T.T, cases called for hearing in any month will in the first instance comprise of appeals against all orders passed under section 52 and balance cases to be called for hearing will be 50% from earliest filed appeals and balance 50% from cases involving highest quantum of relief sought. (4) The expression, quantum of relief is defined in Form 37. The expression means,- (a) The aggregate of the amount of tax or penalty or interest, if any, or sum forfeited, demanded and the amount claimed by the appellant to be refundable, or (b) The difference between the amount of refund claimed by the appellant and the amount of refund granted in the order against which the appeal a filed. (c) The difference of the amount of tax or penalty or interest, if any, or sum forfeited, demanded and amount accepted by the appellant to be payable.
	18.	Amendment in Form-1 : - (1) In the application for registration, item No 2 is amended so that the dealer is required to furnish details of the PAN allotted under the Income Tax Act, 1961. (2) In item No. 12 and 13, turnover limits of goods brought in the State from outside the State and turnover limit of goods manufactured during the year is changed to Rs. 25,000/ - in view of the respective amendments carried out in sub-section (4) of section 3 of the Bombay Sales Tax Act, 1959,
	19.	Insertion of Form N-13-I: - This is the newly introduced form for communication of Permanent Account Number [PAN ] by the-dealer to the assessing authority.
	20.	Amendment in Form N-18-I, N-18-A, N-18-B, N-18C: - Amendments to the above forms are carried out in view of the amendments made to rule 31AA arid rule 31B.
	21.	Insertion of Annexe-1: In view of the amendment to sub-rule (4) of rule 22 the dealers having annual turnover of sales or purchases exceeding Rs. 40 lakhs in a year have to furnish Annexe-I along with the annual return in Form N-18A, N-18B or N-18C The required form of Annexe-I is provided in the rule.
	22.	Insertion of Form N-18D : - As per the newly amended provision of sub-section (8) of section 22 of the B.S.T. Act, 1959, every dealer registered under the Act is required to file return for the period 1.4.2003 to 31.3.2004. The return to be filed will be in form N-18 D. The dealer can get the prescribed form printed or can generate it on the computer and submit it to the assessing authority having jurisdiction over the case. Submission of Permanent Account Number (PAN) allotted under the income Tax Act, 1961 is compulsory while filing Form N-18D.
	23.	Insertion of Form N-27-E: - The form is introduced to provide for notice to be issued under section 33(6B) of the Bombay Sales Tax Act, 1959.
	24.	Insertion of Form N-33AA and N-30-E: - As per the newly amended provision of section 33D of the B.S.T. Act, 1959, the dealer may apply to assessing authority for cancellation of the assessment order and the required application is in Form N-30AA. The order of cancellation of assessment order shall be in Form N-30-E.
	25.	Amendment to Form 37: - (1) Item No.1 of Form 37 is amended so that: provision is made for indicating the demand or refund as per the assessment order and probable refund or increase in refund at appellate level. (2) In Form 37, a note for "quantum of relief sought" is provided which will indicate the exact quantum of relief for which dealer is filing appeal All the dealers filing appeal must indicate the amount of quantum of relief sought This will be a prerequisite for admission of appeal
	26.	The rules regarding taxation of Lotteries are provided by amending following rules: - a) Amendment of rule 22: - (I) a return-cum-chalan in Form N-18L which is to be furnished to Lottery Officer within 25 days of the date of draw, (ii) a fortnightly statement in Form N-18-I certified by the Officer of the Concerned State Govemment, which is to be furnished to Lottery Officer. b) Amendment to rule 30: - Sub-rule (3A) is inserted to provide for Challan in Form N-25L , for payment of tax, interest, penalty, provisional amount of tax, amount forfeited, composition money or all of them and fee prescribed under rule 65 otherwise than the payment made along with Form. N-18L c) Amendment for rule 36: - Sub-rule (1A) is inserted to provide for Form N-30L for order of assessment under section 33, 35 or 57 and Form -I under section 33(2) of the BS.T. Act, 1959. Section 40A under the Bombay Sales Tax Act, 1959 and above rules under the Bombay Sales Tax rules, 1959 will be administered by the Department, of Small Savings and Lotteries, Maharashtra State, Mumbai
	27.	This circular cannot be made use for legal interpretation of provisions or law, as it is clarificatory in nature. If any member of the trade has any doubt, he may refer the matter to this office for further clarification.
	28.	You are requested to bring the contents of this circular to the notice of members of your Association.

(Vijay Kumar Aggarwal) Commissioner of Sales Tax, Maharashtra State, Mumbai.