Information (Sales Executive) (24 Points)
05 July 2010Greetings,
I came accross a trend in business where people provide Fake purchase bills. Charge for such invoice is 50% of Vat amount mentioned in bill. The buyer saves on VAT as he claims 100% amount mentioned on bill as exemption.
How can some one provide Proper Tax Invoice at 50% of Vat amount.How does the seller of Invoice make profit?
I wish to understand how this system Works.
Nitin Grover
(CS)
(1228 Points)
Replied 05 July 2010
Dear Friend
Its a illegal methood. some one charge VAT on 50% because other 50% is Tax Free.
And some person show bills if they have not even purchased.
Regards
25 Hours GST Scrutiny of Return and Notice Handling(With Recording)
Survey, Search and Seizure under Income Tax Act 1961
CAclubindia
