Uttrakhand VAT - Input Clarification Required

[PAWAN KUMAR SHARMA]

Mr, Sir,

Refer below abstract of Uttrakhand VAT act for the usage of Form 11,

'Under Uttarakhand Vat Act  if we purchase rawmaterial etc against form 11 at the concessional rate of 2% . And as per our situation , our 95% of the manufactured goods are stocked transfered , in such case,as per Sectrion 4(7)(e) is the goods manufactuyred from the raw material purchased against form 11 is stock transfered in such case one has to pay an amount equal to 2% of amount of stock transfered & the the allowability of input tax credit will be as per section 6(3) prov-1.'

 

refer above abstract, before 07.01.2010, instead of 2% of amount of Stock transfered,it was 'the difference between the amount of tax on the sale or purchase of such goods payable under this sub-section and the amount of tax payable under any other provisions of the Act.'

My query is whether the amount payable as difference would be available for Input Tax credit or Not ? If yes, under what sections.

Thanks

 

[Ramanujam Varadarajan]

Difference would be available as VAT input tax credit.

[PAWAN KUMAR SHARMA]

Dear Sir,

 

Would request you to kindly provide the relevant sections or case laws on which basis input tax would be available as in our case Assessing officer say NO INPUT will be avaiable for the same. Kindly advice.

[PAWAN KUMAR SHARMA]

Dear Sir,

 

Would request you to kindly provide the relevant sections or case laws on which basis input tax would be available as in our case Assessing officer say NO INPUT will be avaiable for the same. Kindly advice.

 

AI Summary

Input tax credit on concessional purchases under Form 11 disputed for stock transfers; availability under Uttarakhand VAT provisions questioned. Whether the payment required when goods made from raw materials bought under Form 11 are stock transferred qualifies as an input tax credit is disputed. The issue contrasts the current percentage based payment and its link to input credit under the input tax provision, with the former 'difference' formula, and asks whether that difference is allowable as input tax credit and under which statutory provision, in light of an assessing officer's disallowance.