Audit Reports

Kerala

Overview

This Report contains a review on 'transition from sales tax to VAT in Kerala' involving Rs. 295.24 crore. Some of the major findings are mentioned below.
 
The percentage of growth of revenue showed an inconsistent trend throughout the pre-VAT and post-VAT period 2001-02 to 2008-09, though there was growth of revenue in absolute terms.
 
Shortcomings in the computerised system implemented by the department coupled with non-computerisation of all the check posts resulted in the returns of the dealers not being effectively scrutinised electronically by the assessing

Department is yet to prepare a comprehensive manual prescribing guidelines and norms for effective administration of VAT in the State.
The department was unable to furnish the number of assessments pending under the repealed Act and also assessments completed during the preceding years after  implementation of the VAT which indicates weak monitoring  mechanism.

Registering authorities did not obtain security of Rs. 5.73 crorefrom new dealers despite specific orders of the Commissioner of Commercial Taxes.

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• Index
• Preface
• Overview
• Chapter 1 - Introduction
• Chapter 2 - Financial Analysis
• Chapter 3 - Preparedness and Transitional Process
• Chapter 4 - Registration and database of dealers
• Chapter 5 - Returns,their Scrutiny and Audit Assessment
• Chapter 6 - Miscellaneous Provisions
• Chapter 7 - Internal controls and Internal Audit
• Chapter 8 - Conclusion and Summary Of Recommendations
• Annexures