The Government of Goa on March 27, 2026, issued the Goa Value Added Tax (Amendment) Rules, 2026 to further amend the Goa Value Added Tax Rules, 2005.
The following amendments have been stated:
• For rule 6 of the Goa Value Added Tax Rules, 2005, the following rule shall be substituted, namely:—
“6. Composition of Tax”.—
(1) Any registered dealer covered under Schedule ‘E’ to the Act may apply within thirty days from the date of commencement of financial year or from the date of commencement of validity of registration certificate, or from the date of notification issued by the Government under subsection (4) of Section 5 of the Act and a new class of dealers or class of goods are included in Schedule ‘E’ to the Act, as the case may be, to the Appropriate Assessing Authority in Form VAT-XIII to compound the tax assessable. Every such application shall be accompanied by documentary proof of payment of fees as applicable as per these rules. The time limit of 30 days shall be reckoned from the date of submission of application or the date of full payment of applicable fees, whichever is later.
(2) Any registered dealer who has failed to apply for composition under sub-rule (1) above may submit an application for composition of tax to the Appropriate Assessing Authority beyond said thirty days, but not later than 180 days from the date of commencement of financial year or from the date of commencement of validity of registration certificate, or from the date of notification issued by the Government under sub-section (4) of Section 5 of the Act and a new class of dealers or class of goods are included in the Schedule ‘E’ to the Act, as the case may be, on payment of a late fee of Rs. 100/- per day of delay, apart from applicable fees. The time limit of 180 days shall be reckoned from the date of submission of application or the date of full payment of late fee, whichever is later.
(3) Every application filed under sub-rule (2) above shall be accompanied by documentary proof of payment of applicable fees and the late fee calculated as per sub-rule (2). Any application filed without making full payment of late fee as applicable shall be ab-initio invalid and shall not be processed further.
(4) The dealer shall not be eligible for composition of tax in case he,—
(i) makes sales in the course of inter-State trade or commerce within the meaning of Section 3 of the Central Sales Tax Act, 1956 (Central Act 74 of 1956);
(ii) brings any goods in the State of Goa or to whom any goods are dispatched from any place outside the State;
(iii) makes consignment sale/stock transfers;
(iv) makes sales in the course of import of goods into or export of the goods out of the territory of India, within the meaning of Section 5 of the said Central Sales Tax Act, 1956 (Central Act 74 of 1956);
(v) receives any goods for sale on consignment basis or effects sales on behalf of the principal;
(vi) is a non-resident dealer; and
(vii) exceeds the limit of turnover, specified in column 3 of Schedule ‘E’ to the Act at any time during the year;
(5) The Appropriate Assessing Authority upon scrutiny of application received from the dealer under sub-rule (1) or (2) if satisfied that it is in order shall grant him the Composition Certificate in Form VATXIV. The dealer to whom composition certificate is granted shall:
(a) display the certificate in VAT FORM XIV at a conspicuous place at his principal place of business and all additional places of business;
(b) display the following message at least at two prominent and visible places at his principal place of business and all additional places of business with minimum letter size of not less than 2 cms. namely:— “COMPOSITION DEALER, NOT AUTHORISED TO COLLECT VALUE ADDED TAX (VAT)”
(6) The option of composition availed of by a registered dealer shall continue to be in force till the time the dealer voluntarily opts out of the composition scheme. The date from which the registered dealer shall be treated as having opted out of the composition scheme shall be the date as mentioned in the opt out application in Form VAT-XIIIA, and such date shall be on or after submission of such written opt out application with full payment of applicable fees. The date of submission of opt out application shall be reckoned from the date of submission of opt out application or the date of full payment of late fee, whichever is later.
(7) A dealer to whom a certificate of composition of tax in Form VAT-XIV has been granted, if violates any conditions prescribed under these rules at any time, such certificate of composition shall stand automatically invalid from the date of such violation and the dealer shall cease to be eligible for composition from such date. The input tax credit on the stock held by the dealer on the date of such ineligibility shall be allowed to him in accordance with the provisions of sub-rule (1) of Rule 7 of these rules.
(8) The payment of the amount of composition tax at the rate specified in Schedule ‘E’ to the Act shall be made by the respective dealer every month in Form VAT-V in the Government treasury, within 30 days from the expiry of each month to which the payment relates.
(9) The dealer to whom the composition certificate has been granted, shall file return of his sales for every quarter in Form VAT-IV, within 30 days from the end of the quarter along with documentary proof of payment of composition levy for each month of the quarter.
(10) The dealer to whom composition certificate has been granted may at his option, instead of filing quarterly returns, may file a single return of his sales for financial year in VAT-IV within thirty days of the end of financial year along with documentary proof of payment of composition levy for each month of the financial year.
(11) The Appropriate Assessing Authority shall finally dispose every application received under this rule within 30 days from the date of the submission of application or the date of full payment of fees/late fees as applicable, whichever is later.
(12) The Appropriate Assessing Authority shall, before rejecting any application under this rule, afford a reasonable opportunity of hearing to the applicant and may reject the application by recording reasons for the same.
• In rule 46 of the Principal Rules, —
(i) against entry (ix), for the expression “on application to the Commissioner for composition of tax-Rs. 500/-” the expression “opting in for composition Scheme in Form VAT XIII-Rs. 700/-” shall be substituted;
(ii) against entry (x), for the expression “on application to the commissioner for renewal of certificate of composition - Rs. 1000/-” the expression “opting out of composition scheme in Form VAT XIIIA-Rs. 900/- ” shall be substituted.
They shall come into force from April 01, 2026.
[Notification No. 4/5/2005-Fin(R&C) (155)/31349]
