vat credit issue, VAT + CST

[pardeep bisht]

please clear, vat credit is available on the raw material partially used byself for manufacturing the product on job work for export oriented unit

Posts / Replies

[ANAND SHEMBEKAR]

Dear Sir, When you use the Raw Material for Job Work , I think it become works contract and you have to pay the VAT . If you pay the vat as 12.5% on value of Materials used in works contract , you can take the VAT set off. If you charge 8% Vat under composition scheme on total value then you are eligible to claim vat set off 64% of eligible set off. Export oriented unit has to claim the refund from dept. Thanks ANAND SHEMBEKAR CELL 9209904370