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Gourav Goyal (Querist)
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01 August 2011 Like we all know, if purchases are made from other state then v cant claim input credit on vat paid on such purchases. i just want to know if a company having registered office in kolkata but operating in Jharkhand make some purchases from Kolkata & Payment is being made from jharkhand, then vat credit is not available. But if goods purchased are used in jharkhand & if company makes payment from Kolkata. Then can it claim input credit or is there any condition regarding place of consumption of materials purchased.??

Urgent reply required.

Thanks in advance

Amol Gopal Kabra (CA,CS,DISA)

Amol Gopal Kabra (CA,CS,DISA) (Expert)
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01 August 2011 Input credit will be available on the basis of the invoice. It doesnot matter from where the payment is going. If the goods are billed at the address at kolkata then it will get VAT credit. If the goods are billed to Jharkhand office, then setoff is not available. Moreover, based on the billing address, the supplier will charge VAT if address is Kolkata and CST if the address is Jharkhand.

Gourav Goyal

Gourav Goyal (Querist)
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01 June 2012 Thanks Anmol, very satisfying answer..

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