Mr. Richard Mega Mall a dealer in electrical and electronic goods, gave gifts on the eve of new year sale. It gave 100 pieces of mixers which cost ₹ 1,000 each with VAT paid on purchases of ₹ 125 per piece. For the month
CS Executive · Tax Laws and Practice · PYQS · June 2017
Mr. Richard Mega Mall a dealer in electrical and electronic goods, gave gifts on the eve of new year sale. It gave 100 pieces of mixers which cost ₹ 1,000 each with VAT paid on purchases of ₹ 125 per piece. For the month of December its input tax credit (including gifts) on purchases amounts to ₹ 3 lakhs and output tax collected on sale amount to ₹ 4 lakhs. The net VAT liability of the dealer for the month is :
Answer & Explanation:
Correct Answer: Option (B)
Official answer key: (B).
Topics: Value Added Tax (VAT)
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