So I have just purchased a pair of shoes, wherein the label clearly mentions Rs.11,990 inclusive of all taxes. The store is running a flat 40% discount on all items, which is significantly displayed all around the store. Also displayed at the billing counter is a sign that says "VAT additional on discounted MRP as applicable"
On billing, the store has given me 40% discount on the MRP price as per label (remember, this is inclusive of all taxes). On this new discounted price, it has charged me an additional VAT (14.5% for shoes).
Is this not double taxation? How are stores allowed to do this so blatantly all across the country?
Additional note - while searching online, I read there was a successful case lodged against Shoppers Stop in 2015. Interestingly, Calvin Klein (which I believe is a brand under Shoppers Stop) boldly displayed "No additional VAT on discounted price"
CAclubindia
