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Vat adjustment entry

This query is : Resolved 

14 November 2011 Respected sir\ madam
will you please answer my query.
why we have to pass the VAT adjustment entry?

15 November 2011 If the input is excess

Dr: Output Vat
Cr: Input vat

full adjusted balance input can be carry forward next month

if the out put is excess

Dr: Output vat
Cr: Input vat
Cr: Bank ( Balance amount)


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