10 August 2012
Where the suppler not remitted output tax on his sale to government but customer claim input tax on his purchase, so at the time of customer assessment the suppler still not remitted the output tax to the government on his sale then is customer have to pay that much of tax?
please give the legal provision and if there is any judgment case
11 August 2012
As per the General law of VAT, Input Tax credit available on the Inputs of a dealer immediately on the receipt of Inovice and not on the basis when Supplier of Such Input Material deposited the Tax. Now at the time of Assessment there is no qustion to reverse such input tax credit provided customer paid entire invoice amount including tax to supplier on bona fide manner.
11 August 2012
I have expressed my openion on General Vat Law as your query was completely silent with respect to State. Moreover, different sections govern in different states. So, be specific with your state.
CAclubindia
