Entry tax in Uttar Pradesh is levied on the movement of goods or commodities from any other state in the country into Uttar Pradesh. The tax will only be levied on goods that are brought into the state for the purpose of consumption or distribution.
Note: Entry Tax has been replaced by the Goods and Services Tax(GST) starting 1 July 2017
When transporting goods for consumption from a state to Uttar Pradesh or any other state, in other words for trade, as a transporter for these goods an entry tax is charged. There are certain goods which are taxable under Indian laws. The entry tax in Uttar Pradesh for these goods fall under the First Schedule (of the KTEG Act. 1979) which we will list later in this article. These goods are taxable for entry only when they have been brought to a particular local area for use, consumption or simply for sale.
Rate of Entry Tax in Uttar Pradesh
The rate of this particular tax is chargeable at 5% of the value of the goods in question. It should not exceed this amount unless mentioned otherwise or based on that particular locations varying rate based on the panchayat or municipality.
List of Goods Covered under the Entry Tax in Uttar Pradesh
The following are the products that are charged for entry tax in Karnataka and their rates, which is based on the commodity, as well as not exceeding 5%.
Products Added in 2011, (With Rates)
- Non levy sugar as mentioned in the Central Sales Tax of 1956 with taxation at
- Any paper used for printing, packing or writing with the exception of newsprint paper with tax rate a 2%.
- Gutka or any pan masala with tobacco content is charged for entry tax in UP at 5%.
Various kinds of petroleum products are charged at 5%, including:
- High speed diesel
- Low sulphur high speed diesel
- Ultra low sulphur high speed diesel
- Light diesel oil
- Super light diesel oil
- Superior kerosene oil
- Furnace oil
- Residual fuel oil
- Low sulphur heavy stocks
- Heavy petroleum stocks and all its variants with the exception of kerosene in public distribution system.
- All sorts of iron except (as mentioned on the Section 14, Central Sales Tax Act, 1956 ) are charged for entry ta in UP, with the exception of the following:
- Pig iron (raw heated iron that is pink in color giving it the distinct name)
- Sponge iron
- Cast iron that includes:
- ingot moulds
- bottom plates
- iron scrap
- cast iron scrap
- runner scrap as well as
- iron skull scrap
- Steel semins that include:
- Blooms and billets of all types
- All types of Steel melting scrap including turnings steel skull and borings
- Hot roll coil
- Wire-rods in any form.
- Carbon Black Feed Stock as well as Coal is also taxed at 2% for entry in Uttar Pradesh.
- Natural Gas is tae at the rate dif 5%.
- Asphalt or bitumen is taxed at 2%.
Rebates on Entry Taxation in Uttar Pradesh
Certain products receive rebates on taxation as per the latest laws:
- On Iron and steel: No. KA.NI. - 2-418/XI-9(1)/08-U.P.Act-30-07-Order-(68)-2011. Amended in Lucknow on March 31, 2011.This is however, not applicable since May 17, 2013 as of April 2016.
- Natural Gas: No. KA.NI. - 2-939/XI-9(81)/91-U.P.Act-30-07-Order-(62)-2010. Amended in Lucknow on June 28, 2010. The amount is exempt for VAT, as long as the amount does not exceed the entry tax payable.
- Diesel, petrol: No. KA.NI. - 2-765/XI-9(203)/92-U.P.Act-30-2007-Order-(10)-2008. Amended in on March 04, 2008. The amount is exempt for VAT, as long as the amount does not exceed the entry tax payable.
- Paper: Note that this has been withdrawn with effect from 2009. No. KA.NI. - 2-766/XI-9(203)/92-U.P.Act-30-07-Order-(11)-2008. Amended in Lucknow on March 04, 2008.
- Machinery as well as the spare parts of machinery equivalent in Rupees 10.lakhs or more is also exempted.
- Other exemptions against this tax include:
- Wood and timber of all possible trees, of whatever species which includes ballies and bamboos, whether growing or cut or sawn imported from outside India.
- Pan masala which has tobacco content
- Products with compressors such as air conditioners and refrigerators.
- Lap top, computer system as well as other peripherals, T.V. including L.C.D. T.V.
- All sorts of cables.
- Motor vehicles of all the kinds possible, which includes the chassis thereof but with the exception of tractors.
- Aluminum along with its products with the exception of aluminum utensils.
- Marble tiles and stones.
Rate Table for all the Taxable Goods for Entry Tax in Uttar Pradesh
|Crude oil as defined in Section 14 of the Central Sales Tax Act, 1956.||5%|
|Machinery and spare parts of machinery valuing Rupees ten lakhs or more.||2%|
|Non Levy Sugar||2%|
|Tobacco in the form of cigarette.||5%|
|Paper meant for writing, printing or packing purpose excluding newsprint||5%|
|Pan masala containing tobacco (gutka)||5%|
|Wood and timber of all kinds and of all trees, of whatever species including ballies and bamboos, whether growing or cut or sawn imported from outside India.||4%|
|High speed diesel, low sulphur high speed diesel, ultra low sulphur high speed diesel, light diesel oil, super light diesel oil, superior kerosene oil, furnace oil, residual fuel oil, low sulphur heavy stocks, heavy petroleum stocks and all its variants but excluding kerosene oil of public distribution system.||5%|
|Motor vehicles of all kinds including chassis thereof but excluding tractors||1%|
|Iron and Steel as defined in Section 14 of the Central Sales Tax Act, 1956||1%|
|Aluminum and its products excluding aluminum utensils||2%|
|Cables of all kinds||2%|
|Lap top, computer system and peripherals, T.V. including L.C.D. T.V.||2%|
|Tyres and tubes excluding tyres and tubes of cycle, cycle rickshaw and animal driven vehicle||2%|
|Marble stones and their tiles||2%|
|Refrigerators, Air-conditioners and Air-conditioning plants||5%|