harshkohli (ca student) (53 Points)
07 February 2011hello frnds
a company purchases beauty products both consumeable and retail @ vat rate of 12.5%.
the co is having a TIN no. also
the co. sell these products @ vat rate of 12.5%
is it right or wrong
someone is telling me that the co. shall charge vat @ 5%
plz help me
tme s limted,bt drms r unlmtd
(Mba ( fin.) Ca final Student)
(257 Points)
Replied 07 February 2011
The Vat rates are fixed according to products.not according to Registration
If you did retail purchase @ 12.5% of the product you cant take input only
If you do further sale the product will be sold @ 12.5% not 5%
satyendra kumar singh
(Manager-Finance & Accounts)
(100 Points)
Replied 07 February 2011
Dear Harsha,
Vat rate will be vary for state to state . You are paying VAT @ 12.5% on Beauti products that are using by you for self consumprion & retailing purpose. So please check you state related Tax rate . .
Landmark Judgments: Important Provisions of the EPF & ESI Act interpreted by the Honorable Supreme Court of India
CAclubindia
