Rajesh Kumar (ghf) (76 Points)
28 December 2010Stock in trade converted into Fixed asset
I have a doubt regarding whether there is a VAT due on goods ( i.e Stock in trade) if the same
is converted into Fixed Asset. Whether the assessee has to pay VAT on such conversion. Here
the assessee has not claimed any input credit on purchase of these goods.
It would be very kind if someone help me in this regard.
RK
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 28 December 2010
if the identity or nature of goods are not changed after initial purchase and no itc availed, then no impact on taking them as fixed asset from stock in trade.
CAclubindia
