i want to know,in a manufacturing unit if i purchased raw material which is exempted from vat,can i take credit of vat from those bill(we are selling goods in 2% vat)
10 July 2010
Vat credit is taken on Vat amount shown on purchase invoice, if the material is exempt from vat than seller will not charge vat on invoice issued and similarly u will not be alllowed credit.
CAclubindia
