Please guide me how to calculate wct tax? on which amt it should be calculated ? how to pay wct tax if company dont have tin no ? and what is procedure payment of wct tax please help me its very urgent
10 September 2012
WCT to be deducted 4% on invoice gross value and without TIN Number you are not able to submit that amount. First you have to obtain TIN Number. As per Haryana VAT rules.
BRIEF NOTE REGARDING PROVISIONS RELATING TO TDS UNDER MVAT ACT-(RULE-40 & S.31 OF MVAT ACT)
1) Rate of TDS under MVAT Act - A)For Contractors REGD-under MVAT Act @2% B)For ContractorsUNREGD- under MVAT Act -@4%-Up to 31/3/2012 -@5% w.e.f. 1/04/2012 TDS is to be done on the Bill amount excluding Service Tax if any levied in the Bill 2) Basic Limit- No deduction of Tax if the Payments/Bills in a financial year is less than Rs. 5,00,000/-However TDS applicable from Re. 1/ if the Payments/Bills in a financial year is more than Rs. 5,00,000/-TDS is to be done on the Bill amount excluding Service Tax if any levied in the Bill 3) Tax is deductible at the time of Payments/Credit of Bills whichever is earlier. 4) TDS provisions are applicable only at the first stage of Work ,i.e. Tax is required to be deducted at Source only from the Bills/ Payments of Principal/First Contractor & these provisions are not applicable for payments by Principal/First Contractor to further Sub Contractors. 5) TDS is to done only by the Certain categories of specified persons-Published List is enclosed separately(Copy of notification enclosed) 6) TDS-to be deposited within 21 days from the end of the month in which such tax was deducted or was deductible.(Challan No.210) 7) Certificate for TDS to be issued monthly in Form 402( Specimen enclosed) 8) Annual Return in Form-405-is to be submitted within three months from the end of the financial year.(Specimen enclosed)
11 September 2012
Bharat, For practical WCT & Vat (in maharashtra) could you suggest any reference book that is easy to understand & covers all aspects.
I should say your explanation, as above, covered all the bases of the question. Well explained!
CAclubindia
