All the dealers were submitting purchase and sales details in the Annexure annually up to 31st March 2014. From April 2014 onwards dealers are required to submit the annexure along the return. Sales tax department has taken this step in order to ensure speedy cross verification of input tax credit and faster processing of refund. The Sales tax department has issued a circular and it is decided to obtain annexure of dealer-wise sales and purchases annexure from each dealer before filing the return according to the periodicity of its return filing.
Types of Annexure
Annexure J1: In this annexure dealer is required to file dealer-wise information of sales.
AnnexureJ2: In this annexure dealer is required to file dealer-wise information of purchases.
Instructions of filing annexure
1.Each dealer is required to file J1 and J2 annexure as per the periodicity of filing the return i.e., monthly, quarterly and six monthly as applicable.
2.Dealer should ensure that total taxable sales and purchase shown in annexure tally with the figures of taxable sales and purchases to be disclose in corresponding return.
3.Dealer should also verify that supplier has also filed their sales annexure showing the sale to his TIN.
4.Dealers, who are covered under MVAT audit are also require to file annexure J1 and J2 as per their periodicity of the return. Such dealers are also require to file consolidated J1 and J2 for whole year along with annexure C, D, F and H & I as may be applicable.
5.If dealer wants to revise the return under section 20(4) (a) of the MVAT Act, they shall also upload revised annexure J1 and J2 corresponding to the revised return if necessary. Revised annexure J1 and J2 should be uploaded before filing revised return.
6. There is no any change in the due date of payment of taxes and uploading returns.
Even though it is good move by department for speedy cross verification of input tax credit, but it has increases the recording keeping burden on the dealers. It is difficult for the small dealers to maintain TIN-wise sales and purchase record on six monthly or quarterly bases. It becomes hectic to complete the purchase and sales register within 30 days period immediately after the end of the period
(six monthly, quarterly of monthly as per applicability). It is necessary to verify whether our suppler has submitted the annexure and shown our purchases properly in the annexure. This
is very burdensome for dealer. Most of the time dealers may not be able to get the input credit due to the mistake made by supplier in the annexure.