Karnataka vat act on tax on urd purchase

This query is : Resolved

Manjunath (Querist)
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09 December 2015 MY CLIENT IS A MANUFACTURER. HE IS GETTING CONSTRUCTED FACTORY SHED WHICH IS HIS CAPITAL ASSET . FOR CONSTRUCTION PURPOSE HE HAS PURCHASED SOME MATERIALS LIKE SAND, STONES ETC FROM UNREGISTERED DEALERS. DOES HE HAVE TO PAY TAX ON SUCH URD PURCHASES? IF NO , PLEASE EXPLAIN. IF YES WHAT IS THE PERCENTAGE OF TAX? QUERY IS RELATED TO KARNATAKA VAT .

Dheerendra

Dheerendra (Expert)
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11 December 2015 Mr. Manjunath if you purchase any taxable goods from unregistered dealer you should pay the tax on behalf of the URD SELLER.

IN CASE OF SAND PURCHASE VAT RATE IS @ 5.5% IN KARNATAKA.