Tuesday, 26 July 2016

Value Added Tax (VAT) - What you must know?

The Value Added Tax (VAT) has now replaced the Sales Tax. It is synonymous with CST Registration and TIN Registration. This is a multi-stage tax with the provision to allow 'Input tax credit (ITC)' on tax at an earlier stage, which can be appropriated against the VAT liability on subsequent sale. Therefore, VAT is ultimately borne by the consumer.VAT is collected by the State Governments of the country. 

So the rules applicable would depend on the rules of the state, in which your business is located or operates. If you are involved in manufacturing or trading of goods, you must find out the VAT Rates applicable for the state in which you sell your goods. You need to comply with the regulation of that state. 

For manufactures or traders having a Turnover more than Rs 5 Lakhs, VAT Registration is mandatory in most states.  In some state this figure is Rs.10 lakhs. As a manufacturer or trader you must be aware of the relevant state VAT regulation and obtain registration if required. Once your business is registered for VAT, you would be allotted a unique 11 digit number which will serve as the VAT Number for the business. 

This is also the TIN or CST Number. So the VATregistration is very important for your business and you must have it done. If you are not aware with the whole process it may be difficult for you. This is why you need to avail the services of Deallicense. Being the VAT Registration Consultant in Kolkata we can assist you to obtain the same easily and speedily.

1 comment:

  1. لقد شاركت مقالة جيدة هنا. هذه المقالة مفيدة للغاية ومفيدة لمعرفة المزيد عن ضريبة القيمة المضافة. أود أن أشكرك على مشاركة هذه المقالة هنا. برنامج ضريبة القيمة المضافة

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