Dear all,
Can we avail Input VAT credit on capital goods to set off output VAT liability.
Please explain the process.
Thanks,
Satheesh
Giridhar S Karandikar
(Team Lead)
(7543 Points)
Replied 17 January 2013
Yes you can avail the input VAT credit on asset purchase to set-off your output VAT liability. The process of taking the input credit is differennt for different states. Some take the 100% credit, werheas in some cases the VAT credit is taken in equal installments over a period of time, say for 36months.
Just as you take teh input credit for excie duty paid on capital assets, same way the input VAt paid on asset purchase can be taken as a credit, subject to as explained above.
JANESH JINDAL
(.)
(21 Points)
Replied 19 January 2013
Dear all,
Can we claim 100% Input Tax Credit under Himachal Pradesh if Output VAT on Sale is less than Input VAT on Purchase, or one can say that if Loss booked...
Thanks,
Janesh Jindal
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