VAT Credit

Hello mr Sorabh,

As the definition of Input tax is Given under Section - 2 Subsection (1) clause (r) of  Delhi VAT act  2004, as far as ur secong qurey is concerned  whether project work is completed or not,

production on a particular project is started or not u can take Input Credit on the tax paid on the purchase of the goods in the same tax period in which u are purchasing the goods ,

Thanks & Regards

Raman Gora

1. Which State?

2. Under VAT you can claim the Input Tax Credit of taxes paid on purchases subject to Negative List and Restrictions under Local VAT Tax laws. There is no need that Goods must be consumed or sold - for entitlement of Input Tax Credit. Do remember that under VAT lawas there is now no distinction as Manufacturer,Reseller etc, so question of such things dont arise at all.

3. In some State VAT Laws ,  there is do mention of " Corrosponding Purchases " for Inout Tax Credit., but they are generally regarding other goods than Capital Goods.

Thats all for the present

Dear Sorabh,

                               VAT is State and definition of the Input VAT and VAT on Capital goods change state to state. please write me what is your problem in VAT and in which regard sothat i can help you my email id is sachinagarwalcallb @ gamil.com