16 January 2013
We had purchased good in the month of Dec 2011 worth Rs.75 lakhs. In Dec 2012 we had to return the goods to the seller for some reason. They have provided us a credit note for the same mentioning the VAT amount separately on the same. We had taken the VAT set off at the time of purchase.Now After more than a year we have made the purchase return. How should we go ahead with the TAX payments? Do i have to pay the VAT now? or Should we just give a debit note for the same seller and make no VAT payments?
Kindly clarify the same.
Guest
Guest
(Expert)
16 January 2013
The client will be required to reverse the VAT input credit claimed in the year of purchase. So now the client may be required to make payment of VAT.
CAclubindia
