17 May 2011
I am dealer in TATA DOCOMO Sim Cards. The purchase bill shows as follows:
Gross Value - 100.00 Less: Cash Discount - 10.00 -------- Net Value - 90.00 Add:VAT@4% on 100.00 - 4.00 -------- Total Amount - 94.00 ======== My Question is whether the VAT charged on the Gross Amount of Rs.100/- is correct? or it should have been charged on the Net Value of Rs.90.00?
CAclubindia
