Please Help: VAT
Posted Date : 18-Aug-2011 , 11:18:20 am | Posted By: AMRISH KUMAR
Category :
VAT | Answers :
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Comments :
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What is vat and whose product which percentage is applicable. |
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| Posted By : Chetan Agrawal |
15-Sep-2011, 03:49:05 |
| Goods which are sold from one state to another then they are liable for central sales tax (CST) and if the goods are sold within the state then such sale will be liable for Value Added Tax (VAT). All the goods are divided into different schedules. and each schedule are subject to different rates. For example we can refer to Delhi VAT Act-
1) Schedule I - Exempted
2) Schedule II - 1%
3) Schedule III- 5%
4) Schedule IV - 20%
Now if the goods are covered under the list of schedule I than VAT shall not be levied on the same as the list contains the desciption of the goods which are exempted form VAT. Similarly, if the goods fall under schedule III then VAT will be leveied on them @5%. If the goods does not fall in any of the above specified schedule then they will be chageble to VAT @ 12.5%(being residuary item)
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| Posted By : CA Manzurhasan J Shaikh |
19-Aug-2011, 07:51:54 |
| Also, I will add one more thing to Ashish's comment. Basically VAT is a tax which will be levied on Value Addition made in ur Input material. Also here registered dealer can take the benefit of set off of input vat paid on eligible purchases made.
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| Posted By : CA VIPIN GARG |
18-Aug-2011, 04:52:47 |
| Rightly said............ |
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| Posted By : Ashish Karundia |
18-Aug-2011, 11:30:00 |
| VAT is nothing but a new name given to sales Tax. Further, the rate of VAT depends upon the schedule in which the product falls and the state in which the sale takes place.
In order to know the VAT rate in case of any specific product, please let me know the product name and the concerned state.
I hope this answers your query. |
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