Entry Tax on Raw materials in Karnataka

[Rajendra Patil]

Dear Sir,

Is entry tax applicable in Karnataka for Raw materials purchases, machinery parts & components interstate purchases.

[Ganeshan Kalyani]

The provision for entry tax is available in the state of Karnataka. The schedule is required to be referred to see the tax applicable for the description of goods enumerated therein. Refer http://ctax.kar.nic.in

AI Summary

Entry tax applicability: determine whether interstate raw materials or machinery parts fall within the State's scheduled taxable goods. Entry tax is levied in Karnataka and applies to goods whose descriptions are included in the State's entry tax schedule; interstate purchases of raw materials, machinery parts and components are taxable only if they fall within those scheduled descriptions, so liability depends on classification under the schedule.