How to adjust itc against vat

This query is : Resolved

Natasha Mourya (Querist)
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17 July 2014 Dear all,
Here is the dealer who got his Tin No. in May - 2014, He made only 1 purchase for Rs:- 5000 on which he didn't pay Vat & SAT, when he made a sale for Rs:- 15000 he collected Vat & SAT both with the gross amount, in this situation what would he should do while filling Vat return in UP..Will he have to pay Vat which was collected on sale & should he submit his purchase details in Annexure A while filling Vat..kindly motivate me......its already late....

CA Mohit Bansal

CA Mohit Bansal (Expert)
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17 July 2014 Hi,
You have to pay vat on sales by reverse calculations on gross sales. You will not get set off of input tax paid on purchases

Natasha Mourya

Natasha Mourya (Querist)
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17 July 2014 Mr Mohit

On 15000 Purchase he didn't pay tax as a VAT & SAT. but when he made sale for 12000 he collected VAT & SAT (Rs:-900) extra.. its means he is liable to pay tax for Rs:- 900.

CA Mohit Bansal

CA Mohit Bansal (Expert)
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17 July 2014 Yes. He is liable to pay 900 to state Govt

Natasha Mourya

Natasha Mourya (Querist)
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19 July 2014 Mohit....In which Annexure should I show purchase details in Annexure A, or Annexure A2 in UP Vat & should it be recorded in unregistered dealer coloum in VAT NON VAT Sheet.

Vishnu Saboo

Vishnu Saboo (Expert)
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06 August 2014 he is liable to pay sales tax on output, also he is liable to pay purchases tax on purchases made by him, if the same is purchased from URD and the same is VATABLE.

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