DVAT Act 2004 (Delhi
Sales Tax Registration)
A SNAP SHOT
Registered under Delhi
Act, Works Contract Act
or Right to use Goods Act
shall be automatically
Every Dealer whose
Turnover exceeds the
taxable Quantum shall
be liable to register from
the day his turnover so
Liability to Tax
Every dealer who is registered under this Act or who is required to be registered under this Act shall be
liable to pay tax on taxable turnover at the rate specified in Sec. 4, i.e.
a) Goods specified in First Schedule
b) Goods specified in Second Schedule
c) Goods specified in Third Schedule
d) Goods specified in Fourth Schedule
f) Goods other than specified above
i.e., general rate
Exempt from tax
@ 20% %
Taxable Quantum or threshold limit prescribed for making a dealer liable to pay tax & for registration is:
a) For a dealer who imports goods for sale in Delhi
b) For a dealer who exports goods out of Delhi
c) For others
Rs 10 Lakh
Documents Required for VAT Registration
The application for registration is to be accompanied by the following:
An application for Registration is to be made in Form DVAT-04 with the prescribed fee.
A security not exceeding Rs 1 lakh is to be submitted along with the application for registration.
The security amount can be reduced by a maximum of Rs 50,000 if you can provide certain
documents with your registration application. The reduction in the security amount allowed for
various documents is as follows.
Last paid electricity bill in your name, Last paid telephone bill in your name, A PAN number.
A document as proof of ownership of principal place of business.
A document as proof of ownership of residential property and a notarized photocopy of the passport
of proprietor/ managing partner or managing director
Security may be in cash, bank guarantee, post office cash certificates, bonds/debentures, dealers'
surety, or mortgage of immoveable property. The surety for registration may be revised by the
Commissioner under some circumstances.
Proof of incorporation of the applicant dealer i.e.
Partnership Deed in case of Partnership firm
Certificate of Incorporation, MOA and AOA in case of Company
Certificate of registration, memorandum and articles in case of Society and Trust
Two Self Addressed Envelopes
NOTE : Amount of security can be reduced by the amount given in bracket in front of the documents
if submitted with DVAT 04 but up to a maximum of Rs. 50,000/Copy of the last paid electricity
Copy of the last paid telephone bill
Pan of the applicant
Proof of the resident of proprietor
Proof of ownership of principal place of business
Notarized copy of passport of proprietor
DVAT Returns in form DVAT 16 is to be filled within 28 days from the end of the tax period along
with proof of payment in DVAT 20 . The Tax Period along with proof of payment in DVAT 20. The
return period is one month for the dealer having turnover of 5 crore or above and quarterly or
monthly for others at their opinion . The return under .C.S.T Act shall be filed for the above period
i.e. monthly or quarterly according to the tax period adopted for DVAT purposes
Besides return filed under CST Act, an annual reconciliation Statement shall also be submitted by
31st December along with statutory declarations forms such as C,D, E,F form etc. Reconciliation
will be made and if there is any tax due for which forms are not received, tax shall be payable along
with the reconciliation statement.
Revised return can also be filed if an error is detected by the dealer which has resulted in payment
o f less tax. Revised return has to be filed in form DVAT 16 along with explanatory note and with
payment of tax deficiency and interest . Return can be furnished within the period of 4 years. For
dealer opting for composition scheme the revised return has to be furnished in DVAT 17. It must be
noted that such revised return can be filed if there is lesser payment of tax. However, if the mistake
results in excess payment of tax, return can not be revised but the dealer can file an objection under
Contact us at:
For more information or DVAT Registration contact us at
VGGlobal Advisors Private Limited
Add: 24/4818, Prahlad Street,
Daryaganj, Ansari Road,