payment of VAT

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sushil (Querist)
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09 January 2010 when I sell taxable good to my debtor and I am anable to recover niether money nor goods.my question is that should I have to pay VAT on such goods.

harsh

harsh (Expert)
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09 January 2010 no you dont need to pay VAT if your recovery of amount is zero and VAT is not payable even if goods are recovered also...further if you receive any payment in future for that goods you have to considered that payment inclusive of VAT and pay VAT on that amount.

A. Sankaranarayana

A. Sankaranarayana (Expert)
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09 January 2010 Dear Sushil,

1. U didn't mention the State.

2. In our State of Karnataka, Once, the Goods delivered, we have to pay tax, even if u not recovered the payment or the Customer not returned the goods.

3. In the case of the product manufactured against the Customer's specification, we cannot claim exemption from the payment of tax, even if the customers return back the goods within 6 month time.

This is as per my experience and knowledge.

sushil

sushil (Querist)
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11 January 2010 sorry to A.sankaranarayana for not mentioning the state.
State is Maharashtra.

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