Karnataka vat on sale of scrap
This query is : Resolved
03 February 2012
Karnataka VAT:
When a Car is purchased for business purpose, whether it is possible to take input VAT credit, if input VAT paid on such purchase?
If such Car is resold, whether dealer should collect and pay output tax? if yes what is the rate under Karnataka VAT?
while purchasing the car if dealer not taken the credit of input tax, whether he is liable to collect and pay output tax on resale now?
When a Car is purchased for business purpose, whether it is possible to take input VAT credit, if input VAT paid on such purchase?
If such Car is resold, whether dealer should collect and pay output tax? if yes what is the rate under Karnataka VAT?
while purchasing the car if dealer not taken the credit of input tax, whether he is liable to collect and pay output tax on resale now?
03 February 2012
Mr.Ganapati
Input tax credit is not allowed on purchase of a motor vehicle as the same is restricted goods under 5th schedule. (For a dealer not in trading of motor vehicle).
However on sale of motor vehicle there shall be VAT payable presently @ 5% under the Karnataka VAT Act, 2003 as the same are goods under KVAT Act, 2003.
Input tax credit is not allowed on purchase of a motor vehicle as the same is restricted goods under 5th schedule. (For a dealer not in trading of motor vehicle).
However on sale of motor vehicle there shall be VAT payable presently @ 5% under the Karnataka VAT Act, 2003 as the same are goods under KVAT Act, 2003.
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
- Off Market debit and credit transaction
- Itr 1 processing
- Reporting Income under Section 44ADA
- Showing Gift from relative in ITR for this year
- ITR 1: Details for showing Exempt Income
- Share accounting-->fifo - capital gain - period as per fifo?
- ITR returnFY25-26
- ITR selection for salaries and capital gain less than L
- Form 10E u/s 89(1). Need clarification because experts opinions differ !!!!
- ITR 2 Short Term gain & Long term gain
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- 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
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
