vat after discount
CA Shivani Bhardwaj (Chartered Accountant) (158 Points)
20 March 2017CA Shivani Bhardwaj (Chartered Accountant) (158 Points)
20 March 2017VAT is a tax on the actual sale price at which the goods are finally sold. MRP, an acronym for the Maximum Retail Price, is a statutory limit above which an item cannot be sold but can be sold below it. A discount implies a concession being offered on the labelled price. It may be watched however that the total price being charged after including VAT should not exceed the MRP.