19 January 2010
Dear Sir, a. while doing audit of petrol pump should i account for vat paid on petrol purchases separately? b. Is it necessary to disallow the vat on purchases of petrol under rule 54? c. Please suggest the best approach for the same.
20 January 2010
Petrol deisel etc are goods excluded from vat. So no tax is to be collected seprately on sales. Also no set off is available on purchases. Hence you should account your purchaes inclusive of VAT. Regards
CAclubindia
