Save Rs 499 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Vat on sale

Others 165 views 3 replies

Md. Abdul Kalam

CEO

553 Points Posted on 10 January 2017

Dear Experts i need a help on tax on sale of goods. We have our head office in one city and we have a branch office in other city too. we have sold goods to our clients over which we have charged tax. That goods which we have sold had received from head office as branch transfer. Now i want to know that do we need to deposit all tax which we have charged on Bills(Tax Invoice) or there would be any Input Tax which would be deducted from Output Tax after that we should deposit remaining excess tax amount? Plz answer as it is expected from you. Thanks in advance..

Replies (3)

JAGJIT KASHYAP

TAX CONSULTANT

109 Points Posted on 11 January 2017

Please,

Mention that whether your head office and Branch is with in the same state or not.

Md. Abdul Kalam

CEO

553 Points Posted on 11 January 2017

Head office and Branch Office are in different states. We will also apply for F Form..

JAGJIT KASHYAP

TAX CONSULTANT

109 Points Posted on 11 January 2017

Sir,

In this case you will not able to take input credit of VAT paid on purchase of goods, which you transfer to your branch in another state and for settlement of VAT payment, which you will collected from sale from your branch i.e. in another state.

Becase you paid tax at the time of purchase of goods, then on branch transfer CST will not be applicable, if transfer is made against F form.