07 April 2010
Hello, I am a dealer registered under Maharashtra Tax. I need to purchase goods from Local Manufacturer and pay VAT @ 12.5% & sell them mostly outside Mahrashtra State against Form-F & C (ratio : 20% goods within maharashta & 80% OMS). So Set-off for Local VAT is restricted to some extent if sales are made outside the State, is there any possible way that i can buy on MVAT and sell only within state & buy without Tax/if at all--- and sell outside Maharashtra, as i also endup paying Local Tax outside Maharashta. Please advise. Regards Vinod Wanhere
14 April 2010
Hi! Your set off is to be reduced by 80% as your sales ratio on F form is 80%.In such case you can sell goods against C Form and pay CST @ 2% and claim full set off. This option will benfit you, Regards
CAclubindia
