21 October 2010
our client is a manfufacturing client of gold and jewellery in mumbai.
i was doing audit and found that vat paid on following items were not taken for credit.
1)VAt paid on Industrial Packing bags. 2)VAT paid on Computer expenses-Cartridge 3)VAT paid on Plastic bags -packing material 4)VAT paid on printing & stationery items
Plz. let me know whether these are allowed for set off wrt mvat act,2002.
21 October 2010
as per the information provided by you set off no one items mentioned above is allowed , set off of all those items are allowed that have direct nexus with production process or that items directly participate in the process of manufacturing All the items mentioned above are consumable goods and set off of that items are not allowed under the act
CAclubindia
