Gkannan (manager) (77 Points)
19 April 2012Dear all,
Ours is a service oriented unit and there is only service charges received in the p&L and there is no sales income. In this situation can we avail input vat credit on bills received by us, against output tax on sale of fixed assets
I hope my question is clear
can anybody clarify
Regards,
G.Kannan
Saravanamoorthy
(Self employee)
(24 Points)
Replied 19 April 2012
Greetings to all,
I am newly opened and lubricating oil company. now i purchase a lubricating oil per ltr rs. 100 + vat(14.5%) rs.14.5 = 114.5 is the total purchase value. but my suppliers give me discount Rs.20 ltr. now i am selling to my customer rs. 90 + vat(14.5%) Rs.13.10 = total selling value = Rs. 103.10. now my question is i am selling the goods lesser then purchase value, can i eligible for take input tax, and if the same above transaction is continue then in future i got major itc excess amount in vat. that excess amount is refundable from tnvat or adjustable. please clarify.
regards
R.Saravanamoorthy
Saravanamoorthy
(Self employee)
(24 Points)
Replied 19 April 2012
Greetings to all,
I am newly opened and lubricating oil company. now i purchase a lubricating oil per ltr rs. 100 + vat(14.5%) rs.14.5 = 114.5 is the total purchase value. but my suppliers give me discount Rs.20 ltr. now i am selling to my customer rs. 90 + vat(14.5%) Rs.13.10 = total selling value = Rs. 103.10. now my question is i am selling the goods lesser then purchase value, can i eligible for take input tax, and if the same above transaction is continue then in future i got major itc excess amount in vat. that excess amount is refundable from tnvat or adjustable. please clarify.
regards
R.Saravanamoorthy
Saravanamoorthy
(Self employee)
(24 Points)
Replied 19 April 2012
Greetings to all,
I am newly opened and lubricating oil company. now i purchase a lubricating oil per ltr rs. 100 + vat(14.5%) rs.14.5 = 114.5 is the total purchase value. but my suppliers give me discount Rs.20 ltr. now i am selling to my customer rs. 90 + vat(14.5%) Rs.13.10 = total selling value = Rs. 103.10. now my question is i am selling the goods lesser then purchase value, can i eligible for take input tax, and if the same above transaction is continue then in future i got major itc excess amount in vat. that excess amount is refundable from tnvat or adjustable. please clarify.
regards
R.Saravanamoorthy
CAclubindia
