'Dadra and Nagar Haveli and Daman and Diu' India's newest Union Territory; Daman its HQ

The merger of Union Territories Dadra and Nagar Haveli and Daman and Diu will come into effect on Sunday, January 26. The Parliament on December 3 passed Dadra and Nagar Haveli and Daman and Diu (Merger of Union Territories) Bill, 2019 to merge the two Union Territories. The Rajya Sabha passed the Dadra and Nagar Haveli and Daman and Diu (Merger of Union Territories) Bill, 2019 through voice vote. Lok Sabha had already passed this bill on November 27.

The merged Union Territory will be named as Dadra and Nagar Haveli and Daman and Diu. Moreover, it would also continue the reservation provided to people in the two union territories and the Bombay High Court will continue its jurisdiction over the merged UTs.

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Daman as headquarters of Union Territory

On January 22, the Union Cabinet, chaired by Prime Minister Narendra Modi, gave its approval for designation of Daman as headquarters of Union Territory of Dadra & Nagar Haveli and Daman & Diu, making it the capital of the two merged UTs.

As per the Cabinet decision, the Central Goods and Service Tax Act, 2017 will be amended by the Central Goods and Service Tax (Amendments) Regulation, 2020, the Union Territory Goods and Service Tax Act, 2017 will be amended by the Union Territory Goods and Service Tax (Amendments) Regulation, 2020, and the Dadra and Nagar Haveli Value Added Tax Regulation, 2005 will be amended by the Dadra and Nagar Haveli and Daman and Diu Value Added Tax (Amendments) Regulation, 2020.

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The Cabinet also decided that the Daman and Diu Value Added Tax Regulation, 2005 will be removed by the Daman and Diu Value Added Tax (Repeal) Regulation, 2020, the Goa, Daman and Diu Excise Duty Act, 1964 amended by the Dadra and Nagar Haveli and Daman and Diu Excise Duty (Amendment) Regulation, 2020, and the Dadra and Nagar Haveli Excise Duty Regulation, 2012 will be axed by the Dadra and Nagar Haveli Excise Duty (Repeal) Regulation, 2020.

The country currently has nine Union territories after the creation of the UTs of Jammu and Kashmir, and Ladakh. However, with the merger of Daman and Diu, and Dadra and Nagar Haveli, the number of UTs will come down to eight.

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