VAT paid (verification)

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Rahul (Querist)
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25 December 2009 Resp Sir,

we have Agro based Public ltd co., my ques is if we purchase some items with VAT (we have taken setoff of it), if the supplier didnt paid the VAT collected ....then who is liable to pay VAT...ifi m liable (BUYER) then how can crosscheck / verify the payment of VAT by supplier.

thanks in advance.

Regards,

Rahul

manish soni

manish soni (Expert)
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26 December 2009 Hi Rahul

As per my opinion if it is URD purchases then you are laibile to pay the tax.

But as per your query it is not URD and you have taken input also but the same not deposited by supplier.

As per my practical knowledge:

1. You deposit the same on the behalf of supplier with interest and deduct the same from his payments.

2. When you are going with verification o fthe same invoices VAT amount then department that VAT not deposited by him then you shuld provide the hard copy of invoices department will take he action against the same. (The same case happend with me in Rajasthan, department taken the action against supplier and force to deposit the said amount).

3. forget it for collect the same from depatment, discuss with supplier and deduct the said amount from his payments.

for other detail please follow the State VAT rules