Impact over VAT amt due to credit note
This query is : Resolved
08 June 2009
Seller gives invoice to party in this form:
Sale of 100Kg goods @ 20 = 2000
VAT @12.5% = 250
Total = 2250
But actual receipt to Buyer is 95 Kg of goods. So which of following entries Buyer shd pass entry for this:
a)Purchase 2000
Vat Input 250
To Seller 2250 &
Seller A/c Dr 112
To Dis Recd 112
(in this case VAT credit is taken for full)
or
b) Purchase A/c Dr 1900 (95*20)
VAT Input A/c Dr 237
To Seller A/c 2137
(Here VAT input has been taken proportionately)
So which of A or B will be correct method?
Sale of 100Kg goods @ 20 = 2000
VAT @12.5% = 250
Total = 2250
But actual receipt to Buyer is 95 Kg of goods. So which of following entries Buyer shd pass entry for this:
a)Purchase 2000
Vat Input 250
To Seller 2250 &
Seller A/c Dr 112
To Dis Recd 112
(in this case VAT credit is taken for full)
or
b) Purchase A/c Dr 1900 (95*20)
VAT Input A/c Dr 237
To Seller A/c 2137
(Here VAT input has been taken proportionately)
So which of A or B will be correct method?
09 June 2009
The second one would be proper since you have not received the materials at all.However the supplier should be informed to pass entries in his books for short sending.
He would also be able to reverse the entry and revise his return.
He would also be able to reverse the entry and revise his return.
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
- Refund Annexure-B
- Liable to deduct tds and 44ADA
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- Sale of Equity shares for Purchase of Residential Property
- ECO SUPPLY REPORTIONG IN GSTR-1
- Internship/Academic shown in Salary Pay Slip of a Doctor
- Refund of 20%pre-deposit paid for stay application
- Payment to foreign customer
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
