24 November 2010
i am sorry to say sir but its applicable i did check out some sites Egs ONGC invited a tender for some construction it did charge VAT @ 4% on tender ( Site clearly mentioned addtional 4% VAT)
25 November 2010
Yes, VAT is applicable for such a govt. tender @ lowest rate of 4%. if you are seller, you need to collect vat deduction certificate (its like TDS certificate) from the dept.. so, you can submit the same to sales tax dept. by adjusting the output tax for above 4% tax purchase items.
CAclubindia
