Avaling input credit on trucks purchased under mvat act
This query is : Open
18 November 2011
Dear Sir/Madam,
I would like to know whether a dealer engaged in undertaking works contract, paying tax at a composite rate of 5% under Mvat Act 2002 is allowed to claim full input credit on tempo purchased used for business purpose for transporting goods.The dealer has capitalized the said assets in its books.
I would like to know whether a dealer engaged in undertaking works contract, paying tax at a composite rate of 5% under Mvat Act 2002 is allowed to claim full input credit on tempo purchased used for business purpose for transporting goods.The dealer has capitalized the said assets in its books.
18 November 2011
Mr. Sakina,
No. This is not allowed. Under composition scheme no input credit is permitted. Even otherwise,vat paid on purchase vehicles for own use are given credit while paying output tax.
MJK
No. This is not allowed. Under composition scheme no input credit is permitted. Even otherwise,vat paid on purchase vehicles for own use are given credit while paying output tax.
MJK
19 November 2011
But sir, under Mvat Act dealers are entitled to claim input after retention @3%
And these vehicles being vehicles in nature for transportation of goods,falls under delivery vehicles.
And these vehicles being vehicles in nature for transportation of goods,falls under delivery vehicles.
22 November 2011
I require clarification for above urgently....Can u please help me out
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax on Deemed Capital Gain
- Exiting partner in partnership firm in gst portal
- Type of Capital Gain
- TDS _Long term Capital Gain ref.sec 214 Table 2
- Banking Related Issue
- Traces submitting correction statement error
- ITR-Capital Gain
- ITR-3 File/Error Found
- Rent claimed on building given on permissive possession basis
- IT returns for fresh job holders
- Account freezed for Ineligible ITC Scrutiny for GST Annual Return
- TDS on property - Form 141 query
- Seeking Advice: High Tax Shortfall on Job Switch + Let-Out House Property Loss in FY 2025-26
- Housing Society-ITR5
- TDS on Rent received on redevelopment of building
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
