Itr 5 vat in itr software utility

This query is : Resolved

ratnmani jain (Querist)
Follow

22 August 2012 The profit and loss tab in the form, requires the input and output vat figures, and the vat payable to government.

we are making 5% purchase and 2% sale, as per the format given, 3% is added in the income, what is the remedy for this, in the absence of any column for vat refund?

CA VISHNU GAVKARE

CA VISHNU GAVKARE (Expert)
Follow

23 August 2012 Dear Ratnmani,
remaining VAT of 3% is not your Income its just a refund of tax paid to person from whom you purchased Software. If you debit entire 5% and credit 2% to profit and loss account then you have to take balance as Income otherwise it need not to be taken as Income.