VAT under MVAT on Furniture Lease

CA Jayesh Gokalgandhi (CA in Industry) (126 Points)

23 September 2010  

We are taking furniture and other props on hire from a vendor who is charging VAT @ 12.5% on his hire charges. He has mentioned that this is as per Schedule E of MVAT Act, 2002.

Is this correct?

Pls. help!