TaxTMI 
TaxTMI 
TaxTMI 
Dear Sir,
Whether tnvat has to be charged on freight charges if it is shown in the invoice .
Could any body give us reply for this query.
Regards,
S.Ramakrishnan
vat for freight charges
Ramakrishnan Seshadri
TNVAT Applicability on Freight Charges: VAT Applies if Freight is Included in Sale Price, Not if Separately Agreed. A query was raised regarding whether Tamil Nadu VAT (TNVAT) should be charged on freight charges if shown in an invoice. One response advised reviewing the definition of sale price under Section 2 of TNVAT. Another response explained that VAT is applicable only on the goods' price. If freight is included in the price, VAT applies to the total amount. If freight is separately agreed upon, there is no VAT on it. The determination depends on the terms of the agreement between the seller and buyer, specifically the responsibility for delivery. (AI Summary)