Dear All..... Can anybody put some light on this doubt pls:
Whether ST & VAT both are applicable on S/W Product?? If yes, what is the procedure for calculating tax? which option is correct and any circulars/guidance on this issue??
OPTION - 1 Basic Price 1000 vat @ 4% on Basic 40 st@10% on Basic 100 Total Amt 1140
OPTION - 2 Basic Price 1000 vat @ 4% on Basic 40 1040 ---- st@10% 104 Total Amt 1144
26 November 2009
U are talking about software product, its depend upon nature of product/ activity, if u simply sold it in market then VAT is applicable and if u develop for some one then service tax will be applicable.
26 November 2009
Thank u sir.. We buy S/W and customise as required by client and sell it to the client. In this case hope both VAT & Service Tax will be applicable due to updation of Service Tax rules in 2008. pls clarify.. thanks in advance
CAclubindia
