Punjab Vat
arjun prajapati
(Querist) 27 April 2011
This query is : Open
In Punjab there is Surcharge of 10% on vat ie. if our rate is 5% then after including surcharge vat =5.5%. Now my Query is given below
Sales value of goods=1,00,000/-
Output vat @5% =5,000/-
Surcharge on above =500/-
Party A/c is debited 1,05,500/-
Now in Punjab there is 2 parts of total tax payble is 90% & 10%.
If we take total tax as 5,500/-
90% = 4950/-
10%= 550/-
or
90% =5000(ie flat 5%)
10% =500 (ie 10% of 5000)
which one is correct.