VAT input

sir, i have one query on vat can any one slove it and reply me on its.sunny.4.u @ gmail.com

My business is to purchases pipes and use the for the service rendered to my customer. i buy pipes and fitting from various dealers and pay vat for them and at the same time i provide service to the customer by charging the cost of pipes + vat and also instalation charges.

please explain me how to take input for the puchases and output for the sale of pipes to those customer which i provide service, i sell pipes only if provide service and chagre for the same , u can say as works contract.

do i need to charge service tax on the service rendered for installation chagres, shall i make different bills for service and material

Originally posted by : sunny
	sir, i have one query on vat can any one slove it and reply me on its.sunny.4.u @ gmail.com My business is to purchases pipes and use the for the service rendered to my customer. i buy pipes and fitting from various dealers and pay vat for them and at the same time i provide service to the customer by charging the cost of pipes + vat and also instalation charges. please explain me how to take input for the puchases and output for the sale of pipes to those customer which i provide service, i sell pipes only if provide service and chagre for the same , u can say as works contract. do i need to charge service tax on the service rendered for installation chagres, shall i make different bills for service and material

most simple way is to pass the vat bills to customer direct, making invoice in his name directly, and you can raise your fitting charges bill only, which is exempted upto 10 lacs under service tax.
to get vat input credit and debit the sale proceeds u need vat number and u have to issue seperate invoice for goods. by taking input credit on purchase and paying applicable vat on sales.