sameer (Article) (122 Points)
04 January 2013if company purchase raw material and also take input of the same and manufacture the item and sells their product, out of the total finsihed product 30% goods they provide as sample or free gift and on such goods they not impose output vat on both these transaction.
Whether sales tax liability occurs on this transaction?
Alternatively, they may reverse input vat accordingly from which they takes from their purchase.
Kindly provide answere of above queries?
sameer
(Article)
(122 Points)
Replied 10 January 2013
if company purchase raw material and also take input on purchase and manufacture the item and sells their product
out of the total finsihed product 30% goods they provide as sample or free gift and on such goods they not impose output vat
Whether sales tax liability occurs on free samples or on such free items? Kindly provide answere of above queries or any case law for this query its urgent?
CA DIGANT CHADHA
(Academician & Consultant)
(195 Points)
Replied 18 January 2013
CAclubindia
