Tax refund for damaged goods return
Parveen Goyal
(Querist) 26 May 2012
This query is : Resolved
Dear Sir/Madam
I am working as distributor of well known fmcg co. all material is delivered to me through super stockist. all claims for damaged/ expired material, trade load in place of salary paid to saleman etc are settled through super stockist.
In july-11 i returned expired material to super. they settled the claim with co at their own level and did not gave any information for how the claim is settled and credited my account with some amount and oraly informed balance will be credited shortly. but this was not done.
now they are saying that company had deducted amount of sale tax paid by them (which was charged from me in bills) along with the trade load. when i asked them to give this to me in written they refused and said they will only issue credit note for this and you can get refund of tax from department.
Please suggest can i get tax refund or not can co or super stockist deduct amount of sale tax. if no please suggest what action i can take against both (co and super stockist).
Suhail A.Siddiqui
(Expert) 27 May 2012
Your query is incomplete, whether this transaction is local or central and Time gap between receipt of purchase/invoice as well return of goods. without these two things nothing can advise.
Parveen Goyal
(Querist) 27 May 2012
Dear Sir
Purchase/Sale is with in haryana. Material was purchased before June-11. damaged material was collected from market and returned in July-11.
Anirudh
(Expert) 28 May 2012
Dear Mr. Praveen,
I think you simply want to drag the matter without giving completely the information asked for.
What do you mean by saying that the material was purchasedbefore June 11. It could be June 10, june 9, or any period prior to that even several years earlier!
How do you expect any one to give any view to your query, unless you come up with exact dates of receipt of goods?
If you want answer, better come with usable information or else forget any answer to your query.
R K JAIN
(Expert) 28 May 2012
co and super stockist should refund you the tax amount. sales tax Department can not give the refund since there is no provision under haryana vat for the refund of tax on the damaged goods. Normally companies give the tax amount in the form of credit note.
Shonee Kapoor
(Expert) 28 May 2012
Tax can be adjusted only till next quarter only. Resolve this matter by mutual discussion.
Regards,
Shonee Kapoor
harassed.by.498a@gmail.com
Parveen Goyal
(Querist) 28 May 2012
Dear Sir,
Material was billed by SS in Feb,March, April, June-11 and damaged/expired material was collected back from retail market in June-11, July-11 vide different bills. This material was send back to SS in Aug-11. They have credited my account but not issued any type of credit note. For balance amount they were saying this will be credited asap. Now they refused for this and said this amount was deducted for sale tax paid by co. (in Orel not in written). and asked me to get refund from department. is this possible to get refund. if this is not possible than what legal action i can take against co along with SS. Please guide.
C. P. CHUGH
(Expert) 28 May 2012
Since both of you are in Haryana, first clear whether you have taken Input Tax Credit at the time of purchase of material, if so, whether you have reveresed the same at the time delivery of damaged material. Both the transactions are ought to be within six months. in case you have reveresed the tax credit, then the SS should refund you the tax amount as he would reverse his output liability, and in case you have not reversed the Input tax credit, what else are you looking for. SS is right in deducting that amount for which you have availed benefit.
