CAclubindia

MJ Krishnamurthy's Expert Profile

Queries Replied : 1703

About me

I am a retired Assistant Commisioner of Commercial Taxes of Karnataka. I retired in 1998 at the age of 58.During this service I tried to go in detail about sales tax laws. Immeadiately after retirement some companies wanted to retain me as their consultant. That is how my touch with the subject of VAT laws continued.The website of CAclub india is giving a good opportunity to share my knowledge with others. I am an exserviceman from IAF. So, Iam a little different from other taxmen. We should do some service to the community that has offered us so much, That is my purpose.....Bye.

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MAHENDRA KUMAR BAGRECHA says : Issue of F form
Dear Sir, Can a branch issue form F for transfer of items to be used in office for own use against form F?

MJ Krishnamurthy says : Entry Tax etc
Mr Nimit A , Entry tax is leviable on the purchase of machinery from outside the state. Reversal of input tax pertaining to purchases of cement,steel,for factory civil works is correct. Capital goods are listed in a notification and input tax of such purchases within Karnataka only can be claimed.Input tax paid higher then 2% only will be reversed when the manufactured goods are despatched on stock transfer to out side the state (Sec 14&11)...MJK

NIMIT AGARWAl says : ENTRY TAX
Ours is a manufacturing concern at Bangalore. IS there any entry tax Le viable on the purchase of Machinery outside the state. Also Capital goods purchased for Civil Work such as Cement, iron Steel Etc from a local Registered Dealer, The input Tax on such goods was reversed by the ACTT. Calaiming that the same is not regarded as Capital goods. Also When we transfer the Manufactured Goods as Stock Transfer to Our Branches in other States the Input Tax Credit Availed on raw materials of such goods transferred is also Reversed. Is the departments Stand Correct under KTEG Act. For Karnataka.

MJ Krishnamurthy says : filing j1 &j2
Mr P Gopinath As per sec 48(2),you can claim a set off only by furnishing a certificate that the seller has a valid TIN no and he has paid the VAT so charged in the invoice to the govt.So,as per this rule you cannot claim full set off until your seller gives a certificate that he has paid all the vat collected to the govt,in spite of having an invoice with you. If you know that the supplier has paid less tax than the amount charged in the invoice,now you have to lessen the set off claimed in your return ,by revising it, and ask your seller to refund the excess amount collected from you.Or,the supplier has to revise his return and pay the collected tax to the govt and confirm to you.....MJK

pawan gopinath says : Mahavat j1 j2
Sir, Today i received reply on j1-j2. Let me once again state my query. Purchaser has taken the set off as per sale invoices furnished by the seller and J2 filed is correct. But seller J1 is not matching. He may have paid less tax which is not under purchser's control. How will it affect the purchaser