Pls. tell me whether vat is applicable on rent on machinery & if yes what is the percentage? Whether we can take input credit or set-off on that. Pls tell me why vat is charged on rent on machinery. u/s which section or rule of vat it comes.

Also, service tax is applicable for the same under Section 65, Clause 105, Sub Clause zzzzj.[Ref.:Services for use of tangible goods (Section 65 clause (zzzzj)): Services provided to any person, by any other person in relation to supply of tangible goods including machinery, equipment and appliances for use, without transferring right of possession and effective control of such machinery, equipment and appliances]

Clarify whether both taxes are applicable on same product. If yes, what shall be the invoice format?

Is the new 704 form applicable for f.y.2007-08.

one of our client is in business of doing job work of textile(making of clothes)as they dont charge vat on sale of job work .So whatever purchase they are making which is charged with vat .will they get refund for that? The company situated in Borivali maharashtra state

HI,
please any one provide me an Vat audit 240 Form in Excel Formate.
my email Id is kbnmangalore@hotmail.com

Facts :

X, who is a direct exporter purchased 250 sewing machines and leased to a job work contractor,say Y, who inturn, does job work only to that exporter and for none.

Is it possible to claim exemption as per subsection of Sec.4, since there is levy of tax on transfer of right to use any good, but if the same is used "in the course of export of goods out of territory of India", the lease shall be exempted from tax.

Sir,
We are a Residential Township Construction Company.

There are two companies under our group.
Company A is under obligation to build the Infrastructure for Company B after which Company B will build the Houses.

Now at the time of issuing infrastructure construction bills, I encounter with the following queries.

1 Company A used both labour & materials for building infrastructure. How we should raise the bill? Are VAT & Service Tax both applicable? How should we calculate both of them?

2 If Company A charges both VAT & ST in bills, will Company B be able to take input credit in its ongoing activites?

3 Plz suggest any special provision, if any hit us anyways..

4 I have heard about WCT/WSC. Do we come under this?

We are in Gujarat

Plz suggest in detail…

Bhargav
97277 07911

what r the topics we should do for VAT & Service Tax in PCC
because there is no precise things available?
and also which book should be refered for VAT & Service Tax which has almost all the topics covered which ICAI can ask in the exams?
I do have JK Shah Classes Notes ANd Singhania so it would be enough or i should refer anything else??

While calculating the liability for a partiular tax period we take set off of taxes paid on purchases. But whether we have to consider stock factor while calculating set off
ie whether
Set off available = Tax paid On (Op st + Purchases - Cl Stock)
or
Set off available = Tax paid on Purchases

can we take set off of purchase of welding rod for truck body building?

VAT or Service Tax

A newly incorporated firm is engaged in Advertising Agency Business (i.e. making and preparation). It designs and prints flex hoardings for its clients. It has an annual turnover of around 12 Lakhs.

The purchase bills for raw materials are of 4% and 12.5% VAT items (obviously, the firm had to pay vat on purchase) eg, it paid 4% VAT on purchase of Flex, 12.5% on purchase of clips etc. My questions are:

1. Does the firm, being an advertising agency, need to file VAT Return or Service Tax Return.

2. If the firm needs to file service tax return and charge service tax to its clients, then on what value should the tax be calculated. (Whether the cost of raw materials consumed should be considered for computing service tax or should be excluded...as the cost of all the raw materials cannot be bifurcated precisely e.g. ink used in printing)

3. Can the firm enjoy the VAT input on purchases. If yes, how?

4. What will be the best way to record purchases and sales in the books of accounts (plz give specimen entry)

5. The firm has already got VAT Registration. In case VAT is not applicable, what should be done in present circumstances.