MODVAT & CENVAT

This query is : Resolved

Mo.Azhar Shaikh (Querist)
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21 November 2007 1).Concept of MODVAT with example.
2).Concept of CENVAT with example.
3).Application of the above two in the practical matters.
4).Important points to be remembered while doing TAX AUDIT u/s 44AB.

CA. Kirti S. Ganatra

CA. Kirti S. Ganatra (Expert)
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21 November 2007 There is modvat now. Only CENVAT is now means central value added tax. Exp.
Purchase amount - 100
CENVAT (Paid to party) 10
Total 110

Next transaction sales value 200
CENVAt (Recovered from customer) 25
Then we hace to pay to govt 25-10 = 15 by next 5th date of sales made