Mvat


This query is : Resolved 

(Querist)
29 September 2013 freight in sale bill mvat applicable are not please clearify this matter

29 September 2013 According to MVAT, VAT is payable on sale of goods and not on services. Freight charges is just an service of transporting of good from one place to another so there will be no VAT on freight charges.

But if you have given bill calculating VAT on freight also, then you have to pay VAT as per Bill/Invoice Only

30 September 2013 MVAT is payable on the sale price of the goods sold. A sale price is defined in the Act. This includes the amounts paid or payable for transfer of property in goods and amounts charged for any service done till the delivery is made to the cusomer except the cost of transit insurance. This means freight and packing charges,evn if charged seperately,are liable for MVAT...mjk

08 October 2013 Yes I agree with MJK

26 November 2013 Agreed with MJK.


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