Menu
puchase from composition and sell to customer
if a composition dealer A purchase goods from other composition dealer B and B sells goods to customer, will it be beneficial to dealers and customers?
Replies (4)
Yes. total tax gets reduced....
No. No benefit to Customer and also dealer.
Bcoz,
Composition dealer's bill is greater than Regular Dealer bill.
Ex: Composition dealer A Purchased goods from Registered dealer Rs. 1000+180=1180
Add Margin Rs. 120 + 1180 =1300
A sell to B Rs. 1300
B add his Margin Rs. 200 + 1300 = 1500. (all are example rate)
Then customer ll be buy Rs. 1500.
It's over cost the goods. So, End user ll be pay upnormal value from purchasing Composition Dealer....
Bcoz,
Composition dealer's bill is greater than Regular Dealer bill.
Ex: Composition dealer A Purchased goods from Registered dealer Rs. 1000+180=1180
Add Margin Rs. 120 + 1180 =1300
A sell to B Rs. 1300
B add his Margin Rs. 200 + 1300 = 1500. (all are example rate)
Then customer ll be buy Rs. 1500.
It's over cost the goods. So, End user ll be pay upnormal value from purchasing Composition Dealer....
it depends on the rate of tax and profit margin.
if these both are high then only it is beneficial to customers.
if these both are high then only it is beneficial to customers.
Mr. MODI Sir,,
Any tax items is high above said way. Exempt items considering that way. But, Other taxable items also rate is high to customers from composition dealer.
Any tax items is high above said way. Exempt items considering that way. But, Other taxable items also rate is high to customers from composition dealer.
Recent Threads
- How to split freelance project income with a frien
- 194a for A y 2024-25
- Compensation & Benefits
- SAC code and GST rate transport services for anima
- Section 44AB is Gone — How Different is Tax
- Capital Gains from Cancelled Residential Project
- Import of goods data in IMS
- GSTr 9 24-25
- Change HSN
- TDS ISSUE ( DIFFERENT SECTION )
Related Threads
CAclubindia
