https://www.taxtmi.com/forum/issue?id=106309 ITC reversal applies where ITC was claimed on local VAT purchases and goods are sold interstate against C forms: determine the portion of ITC equivalent to the prescribed percentage of the VAT rate on purchased goods, then apportion that ITC by the ratio of interstate C form sales to total sales. Reverse the apportioned amount in the VAT return and adjust against available ITC; purchases under CST, imports, or identifiable stock transfers generally avoid reversal if traceable. Noncompliance may attract statutory penalties. en-us Sat, 14 Dec 2013 11:26:38 +0530 Thu, 23 Jan 2025 15:57:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=106309 ITC reversal applies where ITC was claimed on local VAT purchases and goods are sold interstate against C forms: determine the portion of ITC equivalent to the prescribed percentage of the VAT rate on purchased goods, then apportion that ITC by the ratio of interstate C form sales to total sales. Reverse the apportioned amount in the VAT return and adjust against available ITC; purchases under CST, imports, or identifiable stock transfers generally avoid reversal if traceable. Noncompliance may attract statutory penalties. Discussion-Forum VAT / Sales Tax Sat, 14 Dec 2013 11:26:38 +0530 https://www.taxtmi.com/forum/issue?id=106309