10 December 2011
Take help of undermentioned examples---- (1) Reversal Input Tax Credit on Transfer
Select Reversal Input Tax Credit on Transfer in the Used for field
Debit: Purchase ledger (grouped under Purchase Accounts with VAT/ Tax Class – Purchases @ 1%, Purchases @ 4% and Purchases @ 12.5%)
Credit: Input VAT ledger (grouped under Duties & Taxes with Type of Duty/Tax as VAT and VAT/Tax Class – Input VAT @ 1%, Input VAT @ 4% and Input VAT @ 12.5%)
(2) Reversal Input Tax Credit on Interstate Sales
Select Reversal Input Tax Credit on Interstate Sales in the Used for field
Debit: Purchase ledger (grouped under Purchase Accounts with VAT/ Tax Class – Purchases @ 1%, Purchases @ 4% and Purchases @ 12.5%)
Credit: Input VAT ledger (grouped under Duties & Taxes with Type of Duty/Tax as VAT and VAT/Tax Class – Input VAT @ 1%, Input VAT @ 4% and Input VAT @ 12.5%)
(3) Reverse Credit on Goods Sold Other than Interstate Sales
Select Reverse Credit on Goods Sold Other than Interstate Sales in the Used for field
Debit: Indirect Expenses ledger (grouped under Indirect Expenses)
Credit: Purchase ledger (grouped under Purchase Accounts with VAT/ Tax Class – Purchases @ 1%, Purchases @ 4% and Purchases @ 12.5%)
Credit: Input VAT ledger (grouped under Duties & Taxes with Type of Duty/Tax as VAT and VAT/Tax Class – Input VAT @ 1%, Input VAT @ 4% and Input VAT @ 12.5%)
CAclubindia
