14 September 2011
MY CLIENT IS A REGISTERD DEALER UNDER WEST BENGAL VAT.
IT WANTS TO SELL ONE CAR WHICH HAS BEEN USED FOR SOME TIME.
WEST BENGAL VAT PRESCRIBES 4% VAT ON SALE OF PRE USED CAR. FURTHER IT GIVES A DEDUCTION OF 50% UNDER RULE 26K TO ARRIVE AT TAXABLE TURNOVER WHICH WILL BE CHARGEABE TO VAT.
CAN ANYONE SUGGEST (1) WHETHER MY CLIENT WILL BE ENTITLED TO DEDUCTION UNDER RULE 26K CONSIDERING THE FACT THAT HE IS NOT A DEALER OF PRE USED MOTOR CAR. (2) WHAT WOULD BE VAT RATE CHARGED IN INVOICE/BILL.
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