Written on Dec, 02, 2012 by in

Sales Tax plays a very important role in case of purchase of sale of taxable goods. In this connection, we would like to clarify the following points:- Q. Is sales tax charged on cost of packing of material? Ans. Yes. Sales tax also charged on the packing material used for packing the goods. Q. What should be the rate of …

Written on Dec, 02, 2012 by in

Input Tax means which a dealer pays on purchases.The Input Tax can be utilized in following dealings:- Input Tax can be utilized to adjust the output vat against any Local sales. Input Tax can be utilized to adjust any Central Sales, Export Sales Input Tax on purchase of Machinery which is purchased for production of goods for sale, also can …

Written on Dec, 02, 2012 by in

The use of ‘C’ form is very important in case of inter state sales. It means any business firm sells the taxable goods to other state or purchases taxable goods from other states then it has to receive or issue the ‘C’ form as the case may be, for concessional rate of central sales tax. In this respect, we would …

Written on Nov, 29, 2012 by in

Calculate the Input Tax on all purchases during the return period. Add the amount of tax credit, brought forward from previous return period. Calculate the Vat Output on Sale made by the business firm. Now, deduct the Output tax from Input Tax and Balance Brought Forward If total of input tax/tax credit is more than output tax then it means …

Written on Nov, 29, 2012 by in

WHAT IS VAT CALCULATION OF TAX LIABILITY UNDER VAT SYSTEM C FORM UTILIZATION OF INPUT TAX FAQ – SALES TAX RELATED TERMS: Learn Accounting, Free Accounting Tips General Accounting Terms General Tips Relating to Indian Income Tax Act Free Tally Learning GENERAL TIPS RELATING TO SALES TAX – VAT Others

Written on Nov, 29, 2012 by in

VAT or Value Added Tax is another name of sales tax which is charged on sale of goods. But, we can define the VAT as a multi-point tax on value addition which is collected at different stages of sale with a provision for set-off for tax paid at the previous stage/tax paid on inputs.  In simple words the VAT is …