19 December 2014
VAT is leviable on Semi Stitched fabric (stitched from one side of fabric only and rest three sides ate unstitched) for lady dress. This fabric is into pieces.
Only one side of fabric (i.e. from neck side) is stitched and rest of all sides are unstitched which need to stitch if person needs to wear it.
As per VAT schedule in Gujarat, fabric is non VATable where only ready garments are VATable. Is this fabric is considered into ready made goods?
Please share act clause or Case study if any available.
CAclubindia
