Taxes levied on sale of discarded polythene

[Guest]

what are the taxes will be levied on sale of discarded (scrap) of black polythene and how these taxes will calculated.

[Surender Gupta]

You need to see the rate of tax from concerned Stat Vat Laws, or contact the local VAT consultant for help. Since if it is not included in any schedule it may be chargeable to tax @12.5%. As per Delhi VAT scrap is included in the 3rd Schedule and chargeable to VAT @5%. But you need to confirm it before applying in your case.

AI Summary

Check State VAT Laws: Discarded Black Polythene Sale May Be Taxed at 12.5% or 5% in Some Areas. Verify Rates. A query was raised about the taxes applicable on the sale of discarded black polythene. The response advised checking the relevant State VAT laws or consulting a local VAT expert. If the item is not listed in any schedule, it may be taxed at 12.5%. Specifically, in Delhi, such scrap is included in the 3rd Schedule and taxed at 5% VAT. However, verification is recommended before applying these rates.