Monday, 24 June 2013
Guar Gum will come under Commodity Transaction Tax....
Indian Govt has issued a circular that the transaction of Guar gum in commodity market will come under commodity translation tax. There will liability of seller to pay Commodity Transaction Tax at the rate of 0.01%.
Govt has issued a notice that the non farming commodities ( processed) will come under commodity transaction tax from 1st July 2013. This circular will also includes the processed farming items like sugar and Guar gum, soya meal, mentha oil
Even the provision of this tax were made in the budget 2013 but no circular was issued. As per teh current circular the pure farming activities will be exempted from the Commodity transaction tax.
Finance Minister spoke in the budget speech that Commodity Transaction Tax of commodity market is equal to Security Transaction Tax of capital market.
There are 22 Commodity market in India but only 6 market operate on National Level . The combined transaction of these market was Rs 170,46,840 Crore . There is 80 % share of the non -agricultural commodities in this combined turn over.
Guar seed is the farming commodity so it will be exempted from this Commodity Transaction Tax.