mohit (sr accts officer) (28 Points)
22 May 2011i have a doubt on vat calculation on medicines in karnataka.
Vat on medicines in karnataka is on MRP. What does it mean?
a) does it mean that manufacturer or the number 1 seller will pay complete Vat and noone is required to pay it thereafter?
b) does it mean that vat will be calculated on MRP and will be paid by all?
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 23 May 2011
vat is charged on basis of Maximum Retail Price, not on invoice value, but the same is inclusive in MRP for buyer.
CAclubindia
