Merger of two units

[S.C. WADHWA]

Dear Expert,

Please advise me the formalities to be followed after merger of two units of same group in the state of Haryana regarding followings:-

1. Service tax  2. Central excise 3. Vat tax 4 Income tax

At present one unit is selling its products to other units and some time also doing Job work on same items for the said other unit.

What are the formalities/procedure regarding sale and job work after merger. Whether all nos, of service tax, excise and vat tax to be remain separately  unit wise or merged with transferor company. 

Regards,

WADHWA

[PAWAN KUMAR]

Dear Sir,

If your first unit is being merged into your second unit. There is one option to retain the excise, service tax, VAT and Income tax registration numbers of second unit through filing the amendment application. The first unit will be added to second unit as a merger.

If all of your first and second units being merged with any other third unit, similar option is also available as explained above in para 1.

AI Summary

Tax registration retention: surviving unit may retain excise, service tax, VAT and income tax registrations by amendment. Where one unit is merged into another, the surviving unit may retain excise, service tax, VAT and income tax registrations by filing an amendment application; the transferor unit is added to the transferee's records. The same option to retain and consolidate statutory tax registrations by amendment applies when multiple units merge into a third surviving unit.