PVC BAGS - VAT RATE

[SUMEDH AYARE]

WHAT SHOULD BE THE RATE OF VAT ON BAGS MADE UP OF PVC. BECAUSE ENTRY NO.107(6) COVERS ONLY FEEDING BOTTLE AND NIPPLES. WHAT SHOULD BE THE RATE OF VAT ON BAGS.

[YAGAY andSUN]

Dear Sir,

It seems that the reply submitted by me did not cater your need.  Now, there are two more options available to you in this regard, namely:-

1. If you think that it can't be classified as accessory of feeding bottle and no where has been mentioned in the taxable VAT schedule under MVAT Act, then, by default, it would fall under residuary VAT schedule. It means it will attract the peak rate as mentioned under the MVAT Act.
2. You may approach to the concerned Commissioner of the MVAT Department for seeking the clarification of DDQ by submitting the application on your query through your counsel, alongwith deposition of nominal fees.  The reply would be given within 30 days from the date of submission of your application.

Best Regards

Pradeep Khatri

AI Summary

VAT classification: PVC bags may attract the residuary peak VAT rate unless classified as feeding-bottle accessory; clarification can be sought. If PVC bags cannot be classified as an accessory of feeding bottle they fall into the residuary VAT schedule and attract the peak rate; alternatively, a documented query may be submitted to the Commissioner with the prescribed fee for a response within thirty days.