16 September 2013
in Karnataka vat a restourent can opt for composition scheme. there is section 5(1) where 52 item exempt from tax. purchase and sell both. no where written that vat dealer have to pay tax on these item if dealer opt for compostion scheme. and 52 item exempt for both compostion dealer and regular dealer.
16 September 2013
What you sell in restaurant is food and drinks.These are not included in the Fifth schedule(sec 5(1)),and therefore chargeable with tax. But, under the Act u/s 15(1)(c) and a corresponding notification 4% COT is payable as an alternative option.....mjk
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