I wanted to know what percent of VAT Tax is applicable on Tyre retreading business? And what exemptions are allowed to the taxable value i.e. VAT will be charged on what percentage of value/turnover? I heard somewhere that 40% of exemption is allowed, but i am not clear that, is it taxable on 40% or 40% is exempted on total turnover?
30 April 2012
At What rate VAT will be applicable on tyre retreading business. (for example total gross turnover = 100, then after deducting 40% = 60, then tax on 60% @ 5% or 12.50%?)
And
While taking set off on purchases i have both 5% & 12.50% purchases, then will i have to take VAT as per purchase ratio of 5% & 12.50% or it will flat at the rate applicable?
CAclubindia
