Input vat
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
03 October 2013
HOW WILL WE PASS ENTRY FOR INNPUT VAT CREDIT TAKEN AGAINST OUTPUT TAX. WHAT Will be entry & narration. Will we have to open Input vat A/c And input tax credit A/c separately & pass entry at the end of each month. how output vat will be set off againt input tax . what will be the entry & narration. IF output tax is excess how entry will be passed .what will be the narration.If input tax is excess what will be the entrt & narration. Please Advice me in details along with entries & narrations
04 October 2013
i will explain it with an Example:
on purchase of material of Rs. 50000 you pay Input Vat Tax of Rs. 2500
Entry:
Purchase A/c Dr. 50000
Input Vat A/c Dr. 2500
To Creditor A/c Cr. 52500
On sales of Rs 80000 you have to pay 4000
Entry:
Debtors A/c: Dr. 84000
To Sales A/c Cr. 80000
To Output Vat Tax A/c Cr. 4000
At the end of year pass an entry to close vat account and to make provision for payment as follow:
Entry:
Output VAT Tax A/c. Dr. 4000
To Input Vat Tax A/c Cr. 2500
To VAT Payable A/c Cr. 1500
[being provision for VAT liability for the period ___ to ___ is made]
on payment of VAT pass the following entry
Entry:
VAT Payable A/c Dr. 1500
To Cash/Bank A/c Cr. 1500
on purchase of material of Rs. 50000 you pay Input Vat Tax of Rs. 2500
Entry:
Purchase A/c Dr. 50000
Input Vat A/c Dr. 2500
To Creditor A/c Cr. 52500
On sales of Rs 80000 you have to pay 4000
Entry:
Debtors A/c: Dr. 84000
To Sales A/c Cr. 80000
To Output Vat Tax A/c Cr. 4000
At the end of year pass an entry to close vat account and to make provision for payment as follow:
Entry:
Output VAT Tax A/c. Dr. 4000
To Input Vat Tax A/c Cr. 2500
To VAT Payable A/c Cr. 1500
[being provision for VAT liability for the period ___ to ___ is made]
on payment of VAT pass the following entry
Entry:
VAT Payable A/c Dr. 1500
To Cash/Bank A/c Cr. 1500
Message likes :
1 times
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
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Taxation of crypto futures in India Fy 2026- 2027
- Issuing of delivery challan by seller of goods
- MSME disclosure and disallowance
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Transfer of Physical Stock Between Two Proprietorship Concerns
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
