DVat rate on Power Bank

[rishi mohan]

Dear all,

I would like to have the clarification on the Dvat rate applicable to 'Power Banks' used to store electric power and later on we can use it to charge our mobile phones, MP3/MP4 & TABLET.

[YAGAY andSUN]

Power Bank may fall under unclassified items and may attract 12.50%. You may also opt for DDQ ( Advance Ruling) on Payment of Fees of ₹ 1000/- to the DVAT Department and obtain the clarification under Section 84 of the DVAT Act on this matter.

[DR.MARIAPPAN GOVINDARAJAN]

It is better to classify power bank under other items or unclassified items and pay 12.50% of tax than taking resort to. Advance ruling.

AI Summary

VAT classification for power banks: treat as unclassified goods, incurring the applicable VAT rate unless an advance ruling is sought. Power banks used to charge portable devices should be classified as unclassified goods or other items, resulting in the application of the standard unclassified VAT rate; alternatively an advance ruling under Section 84 of the DVAT Act may be sought for formal clarification, subject to payment of the prescribed fee.