is vat chargeable?

640 views 2 replies

gaurav

trainee ca final and cfa student

80 Points Joined December 2009

hello guyz,

i wanna ask, whether VAT is chargeable on the sale of commodity in commodity exchange like MCX,like sale of pulses or metal,etc.? if it is not chargeable then why is it not chargeable on sale of commodities?

Replies (2)

Pankaj Arora

Learner

3134 Points Joined September 2009

VAT is chargeable on physical stock selling but not through MCX Exchange…

U S Sharma

glidor@gmail.com

21068 Points Joined January 2010

MCX trading is not sale / purchase of goods, but its advance contracts, but once exercised it will invite the vat/CST or local taxes liability, unless the contracts are exercised no such tax liability arise.