Purchase of company leased car

[Sriram Moorthy]

what is the rate of VAT applicable for purchase of company leased car in Karnataka. The car under consideration is less than 1 year old (Jan 2015). The company under consideration is in the IT space and not in the automobile business

AI Summary

VAT rate applicability for purchase of a company-leased car recently used when buyer is non-automobile business. Applicability of the VAT rate on acquisition of a company-leased motor vehicle is queried where the purchaser is a non-automobile business; the vehicle is under one year old (January 2015) and the buyer is an IT-sector company rather than a motor-vehicle dealer, raising the question of correct tax classification and rate treatment under VAT/sales-tax provisions.