Ankit Bansal (Director) 31 July 2014

Sale tax wrongly imposed

I need suggestions regarding a case of mine. I would be really thankful to receive some cooperative responses.

During Jaat Reservation Riots in Haryana, in year 2010, our factory was burnt with machinery and stocks. The Factory premises were looted and goods were stolen and burnt by protestors worth Rs 2 crore. But at the time of assessment, the assessing authority imposed sale tax(VAT) on the value of that loss. How should i proceed with the case and what should be my agenda to fight a strong case. Kindly suggest.

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3 Replies

Ankit Bansal (Director) 01 August 2014

Is there no one to even give a suggestion?

R K JAIN (Advocate) 02 August 2014

The goods stolen are not taxable. Therefore file an appeal before the appellate authority. Contact me on 9255497987 for filing the appeal in the State of Haryana in this case.

Rama chary Rachakonda (Secunderabad/Telangana state Highcourt practice watsapp no.9989324294 ) 05 August 2014

Goods destroyed so that they're not saleable

Sometimes goods might be destroyed meaning that you can't sell them at all. If this happens to you and you hand over the goods - or what's left of them - to your insurer, there's no VAT due. And there's no VAT due on any money you receive from your insurer.

HMRC will need to see evidence of your insurance claim, and details of any insurance payment, on their next inspection visit to your business.