banner_ad

Charging of vat for amortisation value

This query is : Resolved 
Profile Image

Profile Image

(Querist)
02 August 2012 Dear Experts,
Please give your expert opinion on below issue.

For a customer supplied Mould/Tool, please confirm charging of TNVAT is correct or not as we do it for charging EXcise duty. If the below calcuation is not correct please clarify and how it should be?

Particulars
Basic value for 100 Nos x Rate/No
Add: Tool Amortisation cost/No x 100 Nos
(only for taxation purpose)
ED Assessable Value
Add:Excise Duty @12%
Add: Ed. Cess 2% ED
Add: SH Cess 1%ED
VAT Assessable Value
Add: TNVAT @5% on above
Total bill value
Less : Amortisation cost
Balance Charged to Customer
G. Sreenivasan
Profile Image

RENGARAJ R.K

Profile Image

RENGARAJ R.K (Expert)
02 August 2012 Dear Mr G.S,

In my opinion, VAT has to be calculated after deducting the Amortisation cost.

i.e ED assessable valu +ED+ CESS= Less amortisation cost and then add applicable vat.
Profile Image

G. Sreenivasan

Profile Image

G. Sreenivasan (Querist)
04 August 2012 Dear Mr. RRK,
Thanks for your reply. Could anyone please clarify the reason for this?
GSV
CMD
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news


Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
22 May 2026
Audit assistant

Displayandbeyond

Mumbai

CA

View Details
Company
18 May 2026
MIS Executive

Primarc Pecan Retail Limited

Mumbai

B.Com

View Details
Company
23 May 2026
Account Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
26 May 2026
Education Content Creator

Adyayam Education LLP

Bengaluru

CA Foundation

View Details
Company
19 May 2026
Article, CA & Paid Assistant Positions

Aggarwal Sarawagi and Co

New Delhi

CA

View Details
Company
07 June 2026
Tax Associate

Rajkumar Jain & Co.

Ahmedabad

Graduate (Any)

View Details
Company
ARTICLESHIP 31 May 2026
Article Assistant

KPRS And Associates

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 08 June 2026
Internal & Taxation Article

O P Bagla & Co LLP

New Delhi

CA Inter

View Details