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Tamilnadu vat

488 views 1 replies

Sutharsanan

Import Export Consultant

24 Points Joined December 2013

Dear Sir,

We have started a new Retail shop for selling of Chimney, Gas stove and Bulb at Hosur. The Source of products is getting procured from within state of Tamil Nadu only with payment of applicable VAT. The yearly turnover would be 2.5Lakh. In taxation perspective, we have few questions listed below.

Do we needed to obtain TIN number.
Ours is small shop and fall under VAT exemption (Not exceed 10Laksh category). So while selling the product to Consumer, Do we need to collect the VAT in invoice.
Anyway we are in exempted category, we pay VAT while procured the product from Supplier. Can we get the refund of VAT portion of input source?
Do we need to maintain any kind of register/ledger and support documents? If yes, what are the documents and what would be the format of ledger.
Any returns to be filed to VAT department?.
If any other information, please.

thanks

Regards/ Sutharsanan

Replies (1)

B.N.Dharmendra

Senior Manager Indirect Taxation

136 Points Joined August 2010

If you want to claim ITC, u have to register with Sales Tax Department. In ur case u can claim ITC since u buy locally from registered dealers but ITC claim in full is possible only if u Sale locally. If u do Interstate-Sale then it should be against Form-C and also u have to reverse 3% of ITC ( over and above 3% u r eligible for ITC) . You have to file the Monthly Return in Form-I with Annexures and records you can maintain the same as any normal business practice.

Pl.. Refer to TNVAT ACT Sec 3 , TNVAT Rule 7 and VAT FAQ Point No.34 & 50