Companies are advised to consult with competent legal counsel in order to understand their rights and duties under the law. The potential charges to tax arising on a domestic merger under the act are as follows. Finance in a calabash introduction valueadded tax vat is a tax that is levied on the supply by a vendor of goods or services in the course and furtherance of any enterprise carried on by a vendor. Value added tax vat, which is charged on the sale of goods and services as well on imports, are on the other hand seen as an indirect tax. Any changes that have already been made by the team appear in the content and are referenced with annotations.
The west bengal value added tax act 2003 is an act to levy tax on sale of goods in the state of west bengal on the basis of value added to such goods at each stage of sale of such goods and on purchases of certain goods in west bengal in specified circumstances and to provide for matters connected therewith or incidental thereto. The agency has key roles in environmental regulation, provision of knowledge and advocacy for the environment. Rules governing when vat is chargeable for the supply of goods and services, intraeu acquisitions, and imports. This study examines whether firms that primarily use stock of their companies to pay for acquisitions manipulate real activities in the year preceding the merger announcement to inflate earnings. Input tax credit or input tax rebate by a registered dealer 1 every registered dealer other than those specified elsewhere in the act, shall be entitled to claim an input tax credit or input tax rebate, as defined in clause19 of section 2, of section 2, and in such manner, and subject to such conditions continue reading wb vat act section 22. Doctrine of merger, principle of consistency 255 offences and penalties general air customs officer igi new delhi v. Amended by valueadded tax amendment act 61 of 1993. Epa rpii merger action plan epa rpii merger action plan.
There are outstanding changes not yet made by the legislation. A concentration which consists of a merger within the meaning of article 31a or in the acquisition of joint control within the meaning of article 31b shall be notified jointly by the parties to the merger or by those acquiring joint control as the case may be. It allows abbreviated terms to be used for references to previous legislation and thus facilitates drafting and subsequent reading of the legislation. In this eu prospectus, the transaction comprising the dutch merger, the u. Definition of capital goods for the purpose of works contract effective from 01. Vat act amendments act 6 2003 lesotho revenue authority. This act may be cited as the international business companies act. Makes it chargeable on all goods and services goods and. Information on filing a vat return by a legal successor upon merger. Merging two businesses, one is vat registered accountingweb. Issued by vat policy and legislation branch, december. Typical direct taxes are income tax and net wealth tax. On point amendment of value added tax act, 1998 act 546 as part of interim fiscal measures the government of ghana, through the ministry of finance and economic planning, recently presented to parliament a value added tax amendment bill seeking to remove telephone handsets from the list of supplies exempt from value added tax.
Merging businesses there is no reason not to merge two businesses, even with quite different activities. Section 20 of the principal act is amended by substituting for paragraph athe followinga areexempt from customs duty under thefifth schedule of. It may be noted that works contractor equally needs capital goods for carrying out works contract like other manufacturers. The rules do not generally apply to mergers in relation to which the european commission has exclusive jurisdiction under the ec merger regulation the ecmr1. Introduction value added tax, as the name specifies is a multipoint tax collected at each stage of production distribution of chain. Goa rule 16 of the goa value added tax rules 2005 has been amended to exempt specified dealers from the need to apply. A merger may also occur, as is more often the case, when an undertaking is absorbed by another, the latter retaining its legal identity, while the former ceases to exist as a legal entity. Download west bengal value added tax act,2003 file in pdf format. The maharashtra state tax on profession, trades, callings. The essence of vat is in providing setoff through the concept of input tax credit or rebate. Vat is an indirect tax based on consumption of goods and services in the economy. Vat implications arising after a merger and acquisition are complex. In our state, it is governed by west bengal vat act, 2003.
Generally, in a merger, the merging entities would cease to be in existence and would merge into a single surviving entity. Taxation of crossborder mergers and acquisitions poland introduction the polish tax and legal systems have undergone substantial changes since the early 1990s, first to address the needs of a market economy and later to adjust to european union eu law, as required by polands accession to the eu on 1 may 2004. About the law this piece of legislation was enacted to impose and charge value added tax on certain goods and services to provide for the administration and tax and related matters. The ita does however defines the analogous term amalgamation. A merger may occur through a purchase or lease of shares and assets, joint ventures andor pure amalgamation of firmsbusinesses. Assent 29th december, 2000 commencement 29th december, 2000 part i preliminary 1. Under the revenue code of thailand, what are the specific valueadded tax vat implications that arise after a merger and acquisition. Every dealer, who becomes liable to pay tax under the provisions of mvat, shall apply electronically for registration, within 30 days from the date of such liability. Scheme and the other implementation steps related thereto and described herein is referred to as simplification. Provided that where the goods or services were acquired under a supply in respect of which the consideration in money was in terms of section 104 deemed to be the open market value of the supply or would.
Vatsc97600 vat supply and consideration hmrc internal. The act has come into force with effect from 142005. Enacted by the parliament of lesotho short title and commencement. The value added tax act 2014 the united republic of tanzania no. Under the gujarat vat act, 2003, for example, there is a specific provision to deal with the practical issues arising on account of time lag between the effective date of implementation of the scheme of merger and the date of order by the high court. Persons appointed under the act to be deemed to be public servants. Opportunity is also taken to rationalize certain provisions of the said acts. This section defines the principal act as the valueadded tax consolidation act 2010 for the purposes of part 3 of the act. Lex mundi world tax deskbook introduction 1 types of taxes the swedish tax system compromises direct taxes and indirect taxes.
Using postsox data of mergers and acquisitions completed between 2003 and 20, the findings of this study show that acquiring firms in stockforstock mergers inflate earnings by cutting. Therefore, according to section 2 of the fair competition act, 2003 fca, the term merger is defined to include acquisitions. Find out where eu vat rules apply and which vat applies to goods from eu territories not covered by eu vat rules. Real estate dealer shall refer to any person engaged in the business of buying and selling or exchanging real properties on his own account as a principal and holding himself out as a.
Taxpayers contentions the text and phraseology of sections 1701 and 2 of the act do not support the tax departments arguments. In other words tax which is collected on value addition in the price of commodity the final burden of which falls on end consumers. The west bengal value added tax act, 2003 west bengal act xxxvii of 2003 an act to levy tax on sale of goods in west bengal on the basis of value added to such goods at each stage of sale of such goods and on purchases of certain goods in west bengal in specified circumstances and to provide for matters connected therewith or incidental thereto. Value added tax amendment act on 29 december 2015 the vat amendment bill act 12 of 2015 was published in the government gazette and thus making the previously proposed changes effective on 1 january 2016. Pramod kumar dhamija sc 266 recovery of duty or tax not leviedpaid or shortleviedpaid or erroneously refunded. Vat for a dealer is the difference of tax payable on sales output tax effected by the dealer during a tax period after deducting therefrom the tax paid or payable input vat on purchases effected during the same period, say a month.
Uk merger control under the enterprise act 2002 pdf. On a practical point you will need to notify hmrc of the change of ownership and also any additional trading name. Section 20 of the principal act is amended by substituting for paragraph athe followinga areexempt from customs duty under thefifth schedule of the east african community customs management act, 2004 except compact fluorescent bulbs with a power. International business companies an act to provide for the incorporation, registration and operation of international business companies. New nvhas filed a registration statement on form f4 under the u. Part ii imposition of value added tax a imposition and exemptions 3. S 1, 7, 1618, 2021, 34, 41, 44, 55, 5859, 67, 69, 76, sch 12. The national board of revenue nbr is the apex authority for tax administration in bangladesh. The karnataka value added tax act, 2003 received the assent of the president on the fifteenth day of december, 2004 as amended by act 6 of 2005 and 11 of 2005 an act to provide for further levy of tax on the purchase or sale of goods in the state of karnataka.
Acts referred to capital acquisitions tax consolidation act 2003 2003, no. Value added tax act no 14 of 2002 certified on july 26, 2002 value added tax amendment act no. Passing order on an amalgamating company is a jurisdictional defect and cannot be cured under section 292b of the act. The system of value added tax vat has been implemented, in the state of maharashtra, w. Please summarise briefly any relationship between the public procurement government contracting laws in your jurisdiction and those of any supranational body such as wto gpa, eu, uncitral. Disclaimer while every care has been taken to provide accurate copy of the west bengal value added tax act, 2003 incorporating the subsequent amendments, the directorate of commercial taxes, west bengal will not be responsible for any typographical or any other. The transfer of a chargeable asset by the transferor to the successor company on any form of merger will constitute a disposal of the asset by the transferor. In this paper, we construct a panel data set of mergers among publicly traded us manufacturing firms from 1980 to 2003 and investigate the impact of innovation on merger decisions controlling for business cycles and proxies of neoclassical, behavioural and qtheories of mergers.
The value added tax act, 2014 arrangement of sections section title part i preliminary provisions 1. Act 32 the karnataka value added tax act, 2003 arrangement of sections. Real activities manipulation in stockforstock mergers. Assessment order issued on a nonexistent entity pursuant. Declaration by a registered subcontractor for the purpose of clause f of sub section 4 of section 45 of the maharashtra value added tax act, 2003 1. In india federal structure of taxation is followed which restricts implementation of pure vat system. Accordingly no person, entity or corporation should act or rely upon any matter or information as contained or implied within this publication without first obtaining advice from an appropriately qualified professional person or firm of advisors, and. Valueadded tax act 89 of 1991 south african government. Vat means value added tax as provided in the uk value added tax act 1994 and any other taxes of a similar nature. This was confirmed by the european court of justice in kretztechnik ag v finanzamt linz c46503. As a consequence to the national consensus for introduction of vat, the earlier west bengal sales tax act, 1994 has been replaced by west bengal value added tax act, 2003 for all goods barring motor sprit, foreign liquor and country liquor. Tax not be charged on wholesale or retai1 supply of goods 4. It was established by the father of the nation bangabandhu sheikh mujibur rahman under. Form 88 audit report under section 30e of the west bengal.
Enacted by the parliament of lesotho short title and commencement 1. Act lxxxi1996 on corporate tax and dividend tax act lxxxviii2005 on public interest volunteer activities act cxxvii2007 on value added tax act cxxv 2003 on equal treatment and promotion of equal opportunities act iv2006 on business companies act clxxxi of 2007 on transparency of subsidies provided from public funds act clxxxi2011 on the court registration of csos and the. Section 202c of the valueadded tax consolidation act 2010 vatca 2010 provides that a transfer of ownership of goods, being the transfer to an accountable person of a totality of the assets or part thereof of a business, even if that business or part thereof had ceased trading, where those transferred assets constitute an. In section 44 of the value added tax act, after subsection 4, the following subsection shall be inserted, namely. This act may be cited as the value added tax act no. The general principle of law as stated in sections 152 and 153 of the public limited companies act of b.