KANHU CHARAN SAMAL (ARTICLE ASSISTANT STUDENT CA FINAL) (67 Points)
06 November 2012a discount given in tax invoice and it is calculated as a percentage of a amount which is inclusive of VAT . Whether it is correct?
CA Tushar Singhania
(Asst. Manager Accts & Fin.)
(402 Points)
Replied 06 November 2012
Question isn't very clear.
discount equal to the amount of VAT is common practice. this discount is calculated on the net bill amount after including VAT
KANHU CHARAN SAMAL
(ARTICLE ASSISTANT STUDENT CA FINAL)
(67 Points)
Replied 07 November 2012
1)whether discount given in vat invoice is trade or cash discount?
2) how to calculate cash discount in vat ? i.e. whether before calculation of vat or after calculation of vat
3) efect of susequent reduction in invoice amount in vat
CAclubindia
