Commercial Taxes Department
The Puducherry Commercial Taxes Department was set up in the year 1966 for administration of the Pondicherry General Sales Tax Act, 1967 and Central Sales Tax Act, 1956 in the Union Territory of Puducherry. The taxes collected by this Department are utilized for manifold developmental activities of the Government aimed at promoting the economic well being and social welfare of the inhabitants of the Union Territory of Puducherry, and have contributed significantly to the phenomenal industrialization and economic development of Puducherry.
Value Added Tax was introduced in the Union Territory of Puducherry from 1st July, 2007 replacing the Pondicherry General Sales Tax Act, 1967. Presently, this Department is administering Puducherry Value Added Tax Act, 2007 and the Central Sales Tax Act, 1956. It would be pertinent to emphasise that the cost of the Tax collection, calculated as the percentage of Total expenditure incurred by the Department towards salaries and administrative expenses to that of the total tax collected, is among the lowest in the country; and the per-capita dealer tax collection is among the highest.
Administrative Set up:
The Department is headed by the Commissioner (CT) and is assisted by one Dy. Commissioner and two Assistant Commissioners. The Dy. Commissioner normally assists the Commissioner (CT) in the overall administration of the Department. Out of the two Assistant Commissioners, one is looking after Audit and Intelligence and the other Acts as the First Appellate Authority. The department has four divisional offices in Puducherry and one each in the outlying regions of Karaikal, Mahe and Yanam. The major task of these divisional offices is mobilizing revenue from the commercial activities across the Union Territory.
The core functions of the department are as follows:
- Registration of Dealers
- Collection of Returns
- Collection of Taxes
- Provision of Refund
- Tax accounting service
- Issuance of statutory Forms for smooth flow of goods for inter and intra State transactions.
- Tax information service, Tax payer education and guidance.