VAT Chargeability

VAT on Rs 115.5

Thanks Sivaram. And also if the MRP of such goods Is RS 118

 then on what amount we should pay VAT?

see Mr chetan what amout is charged in the bill to consumers vat will be added on to that see the very purpose of vat is only to remove the cascading effect in the 1ST Instance if some input credit is there the same may be adjusted and the final consumer will not suffer for this cascading effect but the margins gets added when one change hands until it reaches the final consumer .Coming to the second question if your MRP is the selling price then vat is charged on Rs 118 .if any discounts is given on MRP then vat will be charged after discount.Hope I made clear whatever little i know on VAT

 hi

 hi mr. chetan  PLEASE INFOMACTION ACCOUNT