Vat Liability arise if dealer get valuntary registration

[Vikas Aggarwal]

Dear Sir,

Please help me to solve the following issues:

A dealer (propriotership) in delhi whose  sale below threshold limit i.e Rs. 10 lakh, but voluntary registered in dvat, can he will be liable to charge vat in our invoice.

Regards,

Vikas Aggarwal.

[YAGAY and SUN]

You may start chargin VAT under DVAT Act, once you cross the threshold limit. However, you would have to file Nil returns, till then.

AI Summary

Voluntary registration under DVAT: no VAT charged until turnover crosses threshold; nil returns must be filed meanwhile.
Voluntary registration under DVAT does not require charging VAT while turnover remains below the threshold; the registrant must file nil returns until the threshold is exceeded, after which VAT must be charged on taxable supplies.