Premium Essay

About Vat

In:

Submitted By subhangisomya
Words 2997
Pages 12
A brief on VAT (Value Added Tax)
What is VAT?
VAT is a multi-stage tax levied at each stage of the value addition chain, with a provision to allow input tax credit (ITC) on tax paid at an earlier stage, which can be appropriated against the VAT liability on subsequent sale.
VAT is intended to tax every stage of sale where some value is added to raw materials, but taxpayers will receive credit for tax already paid on procurement stages. Thus, VAT will be without the problem of double taxation as prevalent in the earlier Sales tax laws.
Presently VAT is followed in over 160 countries. The proposed Indian model of VAT will be different from VAT, as it exists in most parts of the world. In India, VAT has replaced the earier
State sales tax system.
One of the many reasons underlying the shift to VAT is to do away with the distortions in our earier tax structure that carve up the country into a large number of small markets rather than one big common market. In the earlier sales tax structure tax is not levied on all the stages of value addition or sales and distribution channel which means the margins of distributors/ dealers/ retailers at large not subject to sales tax earlier.
Thus, the sales tax pricing structure needs to factor only the single-point levy component of sales tax and the margins of manufacturers and dealers/ retailers etc, are worked out accordingly. internal trade and impeded development of a common market. prices by an amount higher than what accrues to the exchequer by way of revenues from it.
Also, there was the problem of multiplicity of rates. All the states, provided for plethora of rates.
These range from one to 25 per cent. This multiplicity of rates increases the cost of compliance while not really benefiting revenue.
Heterogeneity prevailed in the structure of tax as well. Apart from general sales tax, most states used to levy an additional

Similar Documents

Free Essay

Marketing Starategies of Haldiram's (India)

...Haldiram's to take its restaurant biz overseas; target UK, US PTI Feb 21, 2010, 10.40am IST NEW DELHI: Snacks and fast food player Haldiram's on Sunday said it will take its restaurant business overseas, starting with UK this year. It plans to have at least three restaurants in the overseas market within a couple of years. "We have acquired some land and a warehouse in UK and have already applied for statutory approval to open the first restaurant there. It should be operational by end of this year," Haldiram's Chairman and MD Manoharlal Agarwal told PTI. He said the company is also exploring opportunities in countries like the USA, Canada, Fiji and Mauritius. "We are also scouting for properties in the US, Canada, Fiji and Mauritius. By the end of 2011, we are planning to have at least three restaurants overseas," Agarwal said. He, however, did not provide investment details of the company's international plans. Haldiram's already exports its snacks and sweets to over 60 countries. "We will focus on some of our specialised ready-to-serve fast foods, from among the 150-odd items in our menu, while planning our foreign enterprise," Agarwal added. He further said that by opening restaurants overseas, the company not only wants to tap the diaspora, but is also looking at catering to the growing demand for Indian food items among local people. The Rs 1,200 crore company has 28 restaurants in the domestic market with an average size of 5,000 sq ft. Its outlets in the...

Words: 952 - Pages: 4

Free Essay

Vat Rates Explained: Standard, Reduced, Zero, Exempt

...VAT rates explained: standard, reduced, zero, exempt Different rates of VAT apply to different types of goods and services, and there are some goods and services that aren't taxable for VAT at all. So you need to know whether VAT applies to the goods or services you sell and how much to charge. You also need to know the right amount of VAT to reclaim on what you buy, because you can only claim back what you should have been charged - if your supplier charges you too much, you can't claim all of it back. This guide tells you about the different rates of VAT and how to work out the VAT you should charge. It also tells you about goods or services that are exempt from VAT, or outside the scope of VAT. ------------------------------------------------- On this page: * VAT rates * Standard rate of VAT * Reduced rate of VAT - what it applies to * Zero rate of VAT - what it applies to * When VAT mustn't be charged * How to find the right VAT rate for particular goods and services VAT rates If you're registered for VAT, you have to charge VAT at the standard rate on all goods and services you supply, unless they fall into one of these categories: * zero-rated * reduced-rated * exempt from VAT * outside the scope of VAT For more information on what's exempt from VAT or outside the scope, see the section in this guide on when VAT mustn't be charged. There are currently three rates of VAT: * standard rate - currently 20 per cent * reduced...

Words: 991 - Pages: 4

Free Essay

The Last Trustee of Indigo

...I often work as a historian of science, an ethnographer of social battles, seeking to capture the story of an age. I sometimes play storyteller, but often I am a mere munshi, a recorder of movements, who keeps their archives, their memories, alive. The other day, a friend of mine told me in the middle of a lecture on weaving, “Yellappa died.” The announcement was so matter-of-fact that it took my breath away. In the world of indigo dyes, Yellappa was a master craftsman, the last of the great dyers. It was as if a Picasso or Mozart had died. A genius dies in India and the news is met with silence. For me, as an anthropologist who is perpetually writing on the history of loss and erasure, it was as if Ishi, the last Indian of the Yahi tribe, had died. When Ishi died, a language died, a way of life died, and a set of dreams faded away. Today, ways of life are perpetually dying and there seems no way of remembering, recovering or redeeming them. I realise how the anthropologist Alfred Kroeber might have felt as he wrote Ishi’s story. There is no Yellappa story, just a few fragments of recollection, but I thought I would put them down. There are a few who knew him and this is what they told me. I am not the storyteller; just a cassette tape mourning the loss of a genius. The death of a natural dye Yellappa was the last of a family of great indigo dyers in Andhra Pradesh. Indigo was a legendary colour, a natural dye, which died when the organic chemists synthesised an artificial...

Words: 1014 - Pages: 5

Free Essay

Textile Experience

...capitalize on this concern. This gives a view of future prospects of opportunities in textile and importance of textile products. More specifically the shade, look, handfeel of fabric and durability of shade are the crucial factors of concern for the textile customers (these factors are expected to gain more attention of customers in future). These factors are complied in dyeing processes. Kohinoor Dyeing Mills Ltd. (KDML) is involved in the business of dyeing of woven fabric. It is equipped with state of the art and highly automated technology. The vision of respected MD KDML and the modern machinery deployed here has helped KDML to emerge as a very market player in a very short period of less than two years. It was an honor for me to learn about the dyeing processes in KDML, I started my training, which is an integral part of...

Words: 5262 - Pages: 22

Free Essay

The Effectiveness of Alugbati and Gumamela as an Alternative Dye

...Research Plan A. Rationale The not sure ingredients of commercial dye leads the researcher to make an alternative dye that is ecofriendly. The Basella Rubra Linn otherwise known as Alugabati has little fruits in its steam that contains a vilote fluid has an ability to give a material for example a cloth with a color together with the combination of Hibiscus known as gumamela. They can both make an alternative dye that is not high in cost and in the same time not that hard to do. B. Hypothesis, research questions, Engineering Goals, Expected Outcomes. B1.Hypothesis 1. The extract from both plants can be turned as dye 2. The extract of this both plant can combine to form color. B2. Research Question a. Does the mixture of this 2 plants extract to formed dye? b. How effective is the used of this alugbati extract and gumamela extract as dye in terms of: A. Applied to a cloth. B. Time of longness it is applied B3. Engineering Goal This study aims to determine if alugbati and gumamela extract can became a dye that is used to color a materials such as our clothes. If this study succeed it means we can use it on our daily living such as in school and homes as an alternative dye. B4. Expected Outcome This extract from alugbati and gumamela will give of great benefits in providing and alternative dye. C. Research Methods and conclusion ...

Words: 2544 - Pages: 11

Free Essay

Film Review of About a Boy

...Film Review of ”About a Boy” Cast: Hugh Grant, Rachel Weisz, Toni Collette and Nicholas Hoult Director: Chris and Paul Weitz Novel written by: Nick Hornby Script writer: Peter Hedges, Chris and Paul Weitz Rating: PG-13 Genre: Romance, Comedy and Drama Running time: 105min. Review: The movie is mainly about 36 year old Will Freeman and 12 year old Marcus Brewer. Will is a so called island which means that he wants nothing to do with family related things; all he really wants is relationships without any form of commitment, he therefore goes to a club for single parents called S.P.A.T. There he meets a woman that he likes, but to be with her he makes up that he has a two-year old son named Ted. When he revels that it was a lie to get close to her, she immediately breaks up with him. Will's keeps on courting and the woman (Suzie) takes him to one of the group's picnics where he meets Marcus the son of Suzie's friend, Fiona. At the picnic, Marcus accidentally kills a duck with piece of bread while he is trying to feed it. When a park ranger asks him about it, Will defends Marcus by saying that the bird was already dead. Afterward, when Will and Suzie take Marcus home, they find Fiona, his mother, in the living room, on a pill-overdose trying to commit suicide. Marcus gets uncomfortable with being at home with his mother; therefore he tries to get Will to date her. After only one date this plan fails so Marcus starts following Will around and discovers that Will...

Words: 714 - Pages: 3

Free Essay

About a Boy

...Jenny Smith November 28, 2011 Dr. Min Young Lee English 121 sec 28 The Coming of Age of the Male Characters in About a Boy About a boy is a contemporary novel written by the British author Nick Hornby. It incorporates constructs of post-modern writing by bringing into focus the artists, and styles, and prose of the vernacular. The setting of the novel takes place in London in the mid 1990s. About a boy gives a unique perspective of a coming of age story. It follows the coming of age of two boys of two very different ages; Will Freeman 36 years old and Marcus 12. This novel shows the contrast between consumerism and materialism with real interpersonal connections. Will Freeman made the decision to pursue materialism rather than personal friendships, and to live in self-imposed isolation. Will had the ability to buy “cool” clothes, and sunglasses and sneakers, and so was never at a loss for acquaintances. Marcus, on the other hand, felt isolation due to a lack of materialism. Marcus was an outsider in his school in London since he could not have the best “coolest” clothes, shoes, and haircuts and thus was always the target of bullying. However, as the plot progresses, Marcus and Will undergo transformational experiences together to become more connected to the people around them. The transformational experiences of Fiona’s suicide, falling in love, and Marcus’ arrest all culminate in the maturation of Will and Marcus’ and the genesis of interpersonal connections between...

Words: 1488 - Pages: 6

Free Essay

The Black Death

...of my patients. Streams of people are constantly flooding into our hospital, their legs and necks covered in swollen bumps that blacken within hours; goose bumps rise upon their skin as they shiver with exceedingly high fevers, and many are violently throwing up blood. Nurses are madly dashing around from person to person, trying to aid them as much as possible, while our top doctors are desperately racing against time to find some sort of remedy; the hospital is in mass chaos I tell you, mass chaos! I just can’t take it anymore, seeing so many faces that were once smiling and laughing all of twenty-four hours ago to now being masked with such desolate fear and misery. I want to leave this place, just like Dr. Kamish and Dr. Maveroh and about ten more of our staff members that deserted our hospital did. It would be better than hiding in this old closet that I’m in now, which reeks of must and unused cleaning supplies. Although, the stench of dirt and Windex couldn’t possibly smell as bad as the vile odor of the sick and decaying people outside; I don’t want to go out there. I’m petrified. If I go back out there, I could get sick myself, and leave behind my husband and kids. But I can’t stay in here. It’s wrong. I’m going to go out there right now and try to do my best to help the people that have fallen ill during this grave time, the grimmest time of my life. -Sue * * * Dear Journal March 20, 1348 Yesterday at work was one of the most horrifying sights...

Words: 1210 - Pages: 5

Premium Essay

Joan Didion: on Going Home

...is Home? In Joan Didion’s essay “On Going Home” she writes about leading a double life. She feels like one person when she’s with her husband and daughter in Los Angeles, and a completely different person when back “home” surrounded by her childhood family in the Central Valley of California. During this particular trip, she begins to reflect on her life in Los Angeles. Didion contemplates the fact that she often feels uneasy around her husband, just like he feels uneasy being around her family. At a crossroad, she must decide not only who she is, and the life she wants, but also the kind of life she wants for her daughter. Her life in Los Angeles has cleansed her from her youth—one that was dusty and full of useless trinkets. She ponders the time her husband wrote the word “D-U-S-T” on those useless trinkets and she remembers her feelings of sadness and indignation. She says, “We live in dusty houses…filled with mementos quite without value to him” (139-40). The dust-covered trinkets signify what is important to her, or what needs to be addressed in her marriage. Yet, these objects just lay there waiting for someone to see them—for someone to dust them off and care for them—not unlike how Didion wishes her husband would see her and nurture her in their marriage. Didion wonders which of her two homes is normal or if they are both flawed. When she and her husband are with her family, he becomes apprehensive about her behavior, “…because once there I fall into their ways, which...

Words: 1042 - Pages: 5

Free Essay

All About Eve

...Name: Joel Sanguinetti Title: All About Eve Year: 1950 Director: Joseph L. Mankiewicz Producer: Darryl F. Zanuck Three Performers: Bette Davis, Anne Baxter, George Sanders Costume/Wardrobe: Edith Head, Charles LE Maire, Sam Benson, Josephine Brown, Ann Landers, Merle Williams Hair and Make-up: Ben Nye, Bunny Gardel, Franz Prehoda, Kay Reed, Gene Roemer, Gladys Witten Set and Stage Design: Thomas Little, Walter M. Scott Musical Score Composer: Alfred Newman Cinematographer/Photographer: Milton R. Krasner Screenplay: Joseph L. Mankiewicz Original Novel, Play, or Story: Mary Orr – The Wisdom of Eve Academy Awards (Oscars) Won: 1. Best Actor in a Supporting Role – George Sanders 2. Best Costume Design, Black-and-White – Edith Head & Charles LE Maire 3. Best Director – Joseph L. Mankiewicz 4. Best Picture – 20th Century Fox 5. Best Sound, Recording – 20th Century-Fox Sound Dept. 6. Best Writing, Screenplay – Joseph L. Mankiewicz Joel Sanguinetti Mr. Skillings English 101-B4N December 19, 2011 All About Theatre Theatre has evolved in many ways throughout history. Theatre goes back to the 6th century BCE and develops its origins from Greece. Around 1750, theatre was introduced to New York, and eventually became what we now know as Broadway theatre. All About Eve, directed and written by Joseph L. Mankiewicz, is a movie based on the novel The Wisdom of Eve, written by Mary Orr. All About Eve is a movie about Broadway theatre and the harsh...

Words: 999 - Pages: 4

Premium Essay

What Is Bob Case Study

...My colleague presented a case to me involving a man named “Bob”.  The patient “Bob” is an only child that grew up in a religious household. His father was a warm and kind man that worked all the time. Bob only saw his father on the weekends when he was a child due to his father’s work schedule. Bob’s father died about a year ago. Bob’s mother was the disciplinarian and she was very strict. She worked as a janitor initially at his Elementary School and then she became his high school librarian. Bob seems to have a strained relationship with his mother. Bob attended college and studied psychology. He worked as a psych tech for 14 years. Bob seems cooperative at the session and admits to having no medical problems, but drinks occasionally with...

Words: 379 - Pages: 2

Premium Essay

State Lotto Gambling

... Bob, was an extremely wealthy man in his early forties, just won another million dollars from the state lotto. Bob was on a hot streak winning almost every ticket. Bob also like to bet on the horses. Bob has an addiction. One day bob lost, Bob was mad, He lost a lot of money on a sure fire horse.. Bob bet everything on this horse, The horse broke its leg out of the gate, Game over. Bob was broke, he had no money, just his car and nice house. Bob sold his house and his car, he bought a old ugly beater car. He again bet everything on another horse, and he lost again. Bob lives in his car, Bob is now in this fifties and still living in his car, Bob never reached out for help. Would you of helped Bob if he asked? Gambling is very addictive, there should be more publicly known programs, like AA, to help the people who have an addiction. The lotto should be harder to get tickets. More than a million adolescents are already addicted to gambling, starting at a young age (Grey). People with gambling addictions have problems, But it’s their own problems, They need to better manage their money, and not make everyone else feel bad for their mistakes. In stores and gas stations all around the united states there are machines just sitting there, filled with instant scratch off lotto tickets, All you do is put money in and pick the ticket you want. In gas stations where you have to ask the clerk to grab your ticket, have lower sales than the machines, The machines are convenient, you're...

Words: 701 - Pages: 3

Premium Essay

Major Themes in 'Much Ado About Nothing'

...Major Themes in 'Much Ado About Nothing' Shakespeare’s treatment of love in Much Ado About Nothing differs from his other romantic comedies. Sure, it shares the same stagy plot, which finishes with the lovers finally getting back together, but Shakespeare also mocks the conventions of courtly love which was popular at the time. Although Claudio and Hero’s courtly marriage is central to the plot, their relationship is the least interesting thing in the play. Instead, our attention is drawn to Benedick and Beatrice’s unromantic backbiting – it is this relationship that seems more believable and enduring. By contrasting these two different types of love, Shakespeare manages to poke fun at the conventions of courtly, romantic love. Claudio uses highly contrived language when speaking of love, which is undermined by Benedick and Beatrice’s banter: “Can the world buy such a Jewel?” says Claudio of Hero. “My dear Lady disdain! Are you yet living?” says Benedick of Beatrice. As an audience, we are supposed to share Benedick’s frustration with Claudio’s transparent, pompous rhetoric of love: “He was wont to speak plain and to the purpose, like an honest man and a soldier … His words are a very fantastical banquet, just so many strange dishes.” Deception As the title suggests, there is a lot of fuss over very little in the play – after all, if Claudio wasn’t so impetuous, Don John’s rather weak plan wouldn’t have worked at all! What makes the plot so intricate is the use of deception...

Words: 491 - Pages: 2

Free Essay

Much Ado About Nothimg

...“Much Ado About Nothing” are the victims of deception, and because they’ve been deceived is the reason they act in the ways that they do. Even though the central deception is directed against Claudio in an attempt to destroy his relationship with Hero, it is the deception pertaining to Beatrice and Benedick which is the play's main focus. Almost every character in the play at some point has to make interpretations from what he or she sees, has been told or overheard. At the same time, nearly every character in the play at some point plays a part of consciously pretending to be what they are not. (Act I, Scene I) ”Thou wilt be like a lover presently and tire the hearer with a book of words. If thou dost love fair Hero, cherish it, and I will break with her and with her father, and thou shalt have her. Was't not to this end That thou began'st to twist so fine a story?” Here is when Don Pedro tries to put a spin on words making it sound like if Claudio really wants to be with Hero, they should first trick her into believing that Don Pedro is actually Claudio. They go on forward with the idea and as Don Pedro is swooning Hero with his words and charm at the masked ball and Claudio is actually eavesdropping near-by trying to make sure everything is going according to plan. Deception is one of the focal themes throughout the play which grows out of the love game. Deceit is not evil in nature; it can be used for the purpose good or bad outcomes. “In Much Ado About Nothing” the...

Words: 560 - Pages: 3

Premium Essay

No Fear Shakespeare Figurative Language

...The No Fear Shakespeare line by line translation offers a plaintive point of view of Shakespeare’s Othello. It has improved my understanding of the play as a whole and provided me with a new perspective. The most outstanding difference between the original play and the No Fear Shakespeare (NFS) text is the removal and simplification of the dialogue. Shakespeare uses a syntax that is sometimes difficult to understand, often putting the subject of a sentence after the verb. He also employs various types of figurative language such as metaphors, puns, and allusions. One benefit of reading the NFS is that it rearranges the original sentence structure to be more coherent. However, some of Shakespeare’s best work is lost in translation. While the...

Words: 589 - Pages: 3