If some stock is not selling for more than 3 years and if you sellit at 10% of the value are questions asked by Vat and IT people?
Anjali Saigal (Accountant) (125 Points)
15 January 2010If some stock is not selling for more than 3 years and if you sellit at 10% of the value are questions asked by Vat and IT people?
RAJU
(LEARNER)
(1089 Points)
Replied 16 January 2010
As far as Karnataka is concerned there is no special treatment for such transactions as long as the fact the can be proved that the goods were unsaleable and the price of such goods in terms with the quality of the product.
Only in case, where the goods on which input tax credit is availed is destroyed subsequently, input tax relatable to goods destroyed needs to be paid off on such destruction.
Trust the above clarifies the doubt.
Regards
Dharmaraju
"Live class on Python for Financial Analysis: Unlocking Efficiency in Accounting and Finance"
GST Live Certification Course (39th Batch) - April 2024 (Weekend Batch) (With Certificate)
CAclubindia
