Mannat (Learner) (102 Points)
14 April 2016Hi! There is this person who is selling toys online on flipkart. He has TIN since it is required to become seller on such sites. Now I want to know is it mandatory to charge VAT/CST on the invoices? The turnover is below the threshold limit. Also he is a new seller and will be filing his 1st DVAT return for the last quarter where he did not charge any VAT.
Please guide! Looking forward to your answers.
Shubham Gupta
(Business Consultants)
(2077 Points)
Replied 14 April 2016
dvat registration is mandatory after turnover crosses 20 Lacs.
vat has to applied on invoices since Vat registration has been taken.
dealer have to charge VAT and adjust output vat with Input vat and pay accordingly.
Mannat
(Learner)
(102 Points)
Replied 15 April 2016
Thank you sir! He has not charged any VAT till now. The registration was taken in February 2016. And the online sales is around Rs.25000 so far. What should be done now while filing dvat return? Can nil return be filed in that case?
Shubham Gupta
(Business Consultants)
(2077 Points)
Replied 15 April 2016
sales and purchases will be recorded in return
from date when vat registration is taken.
please let me know for further clarity
Mannat
(Learner)
(102 Points)
Replied 15 April 2016
Neither VAT has been charged on purchases nor on sales. There are no purchase invoices as well. Does that mean now it has to be paid out of pocket?
Shubham Gupta
(Business Consultants)
(2077 Points)
Replied 15 April 2016
when there are no purchase invoice then
on what basis he is selling goods.
what is source of such sale must be mentioned.
as he has to mention both purchase and sales in return whether from registered dealer or unregistered dealer.
also sales which he is making is inclusive of vat.
and will be required to calculate basic value of goods and then output vat will be calculated
CAclubindia
