revenue generation from old news papers and magazines

Are you seeking advice regarding TCS collection. There are clarifications that selling these old books and machines is not a sale of scrap. They are sale of used goods or articles  used by the assessee and still sellable in that form itself to another user,  but if you are under VAT, VAT is payable on such sales.

As far as treatment is concerned, if you have capitalised what you paid for books and then sold the used books then it is a capital and may result into a loss on capital. VAT is still payable or chargeable.

If you have treated expenses on books or newspapers as revenue expenses in earlier years or even in the current year, the receipts against them will be your income in the year you receive it and you will have to show it separately as other receipts and it will form part of your income at normal rates. It is similar to paying to telephone company the deposit at time of connection that is allowed as expenditure but fully taxed in the year you take back the deposit. VAT is still payable at the applicable rates for the VAT.