Purchase tax

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Querist : Anonymous

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Querist : Anonymous (Querist)
15 December 2014 CAN ANY ONE EXPLAIN WHAT IS PURCHASE TAX AND ON WHAT GOOD IT IS LIABLE TO BE PAID?

15 December 2014 means tax u pay on purchase...............

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Querist : Anonymous

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Querist : Anonymous (Querist)
15 December 2014 THANKS FOR REPLY
but i dont understand
as
in normal course of business we pay to the supplier price charged by him along with taxes.

what is significance of purchase tax then

15 December 2014 its like when u sale again u need to pay taxes so when u file return u can get the purchase tax already paid and can reduce your output tax

20 December 2014 you can take the input of purchase tax and set off his liability when you deposit the tax and vat return.


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