Ipcc - taxation - vat

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 August 2013 In module different rates under VAT are given, one of which is 20% on non VAT goods like petrol, disel, ATF, other motor spirit,liquir & lottery tickets and again it is mentioned in the answer of true or false that Since VAT is not applicable on sale of lottery tickets, the question of rate does not arise.

I am confused...please explain....

CA Pallav Singhania

CA Pallav Singhania (Expert)
Follow

04 September 2013 20% is the standard rate of VAT and all goods and services that do not fall into the reduced rate categories are charged at this rate. They include alcohol, audio-visual equipment, car parts and accessories, CDs, computers, consultancy services, cosmetics, detergents, diesel, fridges, furniture and furnishings, hardware, jewellery, lawnmowers, machinery, medicines (non-oral), office equipment, pet food, petrol, paper, tobacco, toys, tools, washing machines, bottled water.

12.5% is a reduced rate of VAT for items including fuel (coal, heating oil, gas), electricity, veterinary fees, building and building services, agricultural contracting services, short-term car hire, cleaning and maintenance services.

4% is a reduced rate of VAT specifically for agriculture. It applies to livestock (excluding chickens), greyhounds and the hire of horses.

0% (Zero) VAT rating includes all exports, books, children’s clothes and shoes, oral medicine for humans and animals, vegetable seeds and fruit trees, fertilisers, large animal feed, disability aids such as wheelchairs, crutches and hearing aids.

1% on Ornaments of Gold. Silver or any precious stones..

Regards,

Message likes : 1 times

Online classes for CA CS CMA