DVAT credit on branch transfer outside state

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Can VAT input credit be availed on goods purchased in Delhi and transferred out side Delhi on branch transfer against Form F.

Querry is urgent

Replies (4)

Mr Vishal... 

we cannot claim full input ... there is a formula of calculating input for local purchase of goods..

there is a percentage given according to the schedule or rate of tax..

depend upon the rate of that goods..  read INPUT TAX CREDIT chapter in DVAT ready Reckoner..  

check section 9(6) and 10(3), rule 7(1) DVAT Act

For the goods which is purchased locally i.e. in Delhi and transferred as stock transfer to Branch or as consignment sale outside Delhi, we need to reverse VAT already taken @ 2% of the amount.


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