What is basis of vat modvat ? which is the list , on we can claim vat modivat ? A manufacturing co can clain vat madvet on spare parts
Kapil
(Accountant)
(32 Points)
Replied 06 May 2009
What is basis of vat modvat ? which is the list , on we can claim vat modivat ? A manufacturing co can clain vat madvet on spare parts
R B Banwat
(tax consultant)
(154 Points)
Replied 07 May 2009
1. Which State ? thats very important. Every state have its own rules for Input tax Credit(VAT Modvat)
2. Under VAT regime there is now no such concept like mfg/reseller etc. Generally speaking you are entitled for all vat paid on purchases booked under Trading Account plus all vat paid on expenses which contain purchase element e.g. printing, stationary. repsird to plant snd mschinesry, electricity, furniture, even VAT paid on hotel bills. PLUS VAT paid on purchases of Fixed Assets.
3. generally rules provide for Negative list which means the items mantioned therein will not be entitled for setoff. There are also rules which restricts vat setoff in certain circumtances and on certain goods.
subject to above do remember that VAT Input Tax credit is much liberal than previous sales tax laws.
thats all for the pen at present
R B Banwat
(tax consultant)
(154 Points)
Replied 07 May 2009
1. Which State ? thats very important. Every state have its own rules for Input tax Credit(VAT Modvat)
2. Under VAT regime there is now no such concept like mfg/reseller etc. Generally speaking you are entitled for all vat paid on purchases booked under Trading Account plus all vat paid on expenses which contain purchase element e.g. printing, stationary. repsird to plant snd mschinesry, electricity, furniture, even VAT paid on hotel bills. PLUS VAT paid on purchases of Fixed Assets.
3. generally rules provide for Negative list which means the items mantioned therein will not be entitled for setoff. There are also rules which restricts vat setoff in certain circumtances and on certain goods.
subject to above do remember that VAT Input Tax credit is much liberal than previous sales tax laws.
thats all for the pen at present
hitesh khandelwal
(article trainee)
(22 Points)
Replied 14 December 2009
Can we take the benefits of input vat paid on these items:-
- Printing & Stationary items
- Staff welfare items
- Building repair & maintenance.
Yetru.Rajendra Reddy
(Charted Accountancy)
(22 Points)
Replied 28 January 2014
Whether we can take VAT input on Spare Parts purchased for Plant And Machinery under TN VAT act ????????? Please suggest me
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