PF : Provident fund is calculated @ 12% on the basic
salary, which indeed is deducted from Employee's salary and
the same plus 12% on the basic is contributed by the
employer. So the aggreate 12% + 12% is remitted to the
Provident fund Department

ESI : Employee State Insurance is calculated at 1.75% on
the gross salary of the employees whose salary is below Rs.
10000/-permonth (w.e.f 2008) and Employer contributes 4.75%
on the gross salary of the employee and the agreegate 1.75%
+ 4.75% is remitted to the ESI Department

VAT : VAT percentage is 1, 4, 12.5%. It is a tax which is
charged on the basic value of the product by the seller
from the buyer and the same is remitted to the Sales Tax
Departement. for eg if the product value is Rs. 100 and the
tax applicable is 4%, in such case a bill is raised for Rs.
104.

PF : Provident fund is calculated @ 12% on the basic
salary, which indeed is deducted from Employee's salary and
the same plus 12% on the basic is contributed by the
employer. So the aggreate 12% + 12% is remitted to the
Provident fund Department

ESI : Employee State Insurance is calculated at 1.75% on
the gross salary of the employees whose salary is below Rs.
10000/-permonth (w.e.f 2008) and Employer contributes 4.75%
on the gross salary of the employee and the agreegate 1.75%
+ 4.75% is remitted to the ESI Department

VAT : VAT percentage is 1, 4, 12.5%. It is a tax which is
charged on the basic value of the product by the seller
from the buyer and the same is remitted to the Sales Tax
Departement. for eg if the product value is Rs. 100 and the
tax applicable is 4%, in such case a bill is raised for Rs.
104.

PF : Provident fund is calculated @ 12% on the basic
salary+DA+Food Allowence+Cash Allowence (Upto Rs.6,500/-and
above of the limit, Company can decide), which indeed is
deducted from Employee's salary and deposit in PF A/c No.1
and the same plus 12% on the basic is contributed by the
employer and deposit 3.67% in the A/c No.1 and remaining
8.33% in A/c No.10 of Pension fund (which is calculated on
the maximum limit of PF Rs.6500/-). So the aggreate 12% +
12% is remitted to the Provident fund Department

ESI : Employee State Insurance is calculated at 1.75% on
the gross salary of the employees whose salary is below Rs.
10000/-permonth (w.e.f 2008) and Employer contributes 4.75%
on the gross salary of the employee and the agreegate 1.75%
+ 4.75% is remitted to the ESI Department

VAT : VAT percentage is 1, 4, 12.5%. It is a tax which is
charged on the basic value of the product by the seller
from the buyer and the same is remitted to the Sales Tax
Departement. for eg if the product value is Rs. 100 and the
tax applicable is 4%, in such case a bill is raised for Rs.
104.

PF : Provident fund is calculated @ 12% on the basic
salary+DA+Food Allowence+Cash Allowence (Upto Rs.6,500/-and
above of the limit, Company can decide), which indeed is
deducted from Employee's salary and deposit in PF A/c No.1
and the same plus 12% on the basic is contributed by the
employer and deposit 3.67% in the A/c No.1 and remaining
8.33% in A/c No.10 of Pension fund (which is calculated on
the maximum limit of PF Rs.6500/-). So the aggreate 12% +
12% is remitted to the Provident fund Department

ESI : Employee State Insurance is calculated at 1.75% on
the gross salary of the employees whose salary is below Rs.
10000/-permonth (w.e.f 2008) and Employer contributes 4.75%
on the gross salary of the employee and the agreegate 1.75%
+ 4.75% is remitted to the ESI Department

VAT : VAT percentage is 1, 4, 12.5%. It is a tax which is
charged on the basic value of the product by the seller
from the buyer and the same is remitted to the Sales Tax
Departement. for eg if the product value is Rs. 100 and the
tax applicable is 4%, in such case a bill is raised for Rs.
104.

VAT : VAT percentage has been changed in terms of
VAT+Additional VAT. ie. Vat 4%+Additional Vat1%=5%,
Vat12.50%+Additional Vat 2.5%=15%,Vat 15%+Additional
Vat2.5%. And the product Value is MRP, that meanse the rate
is inclussive of all taxes. If the product Value is 100 MRP
and Vat Rate is 5%, then the nit rate will be 95.24 + 5%
Vat.
If the Product value is not MRP, you can raise the bill for
Rs.105. is 100+5% vat

And Vat is applicable only in Inter State Sales and for
Sale to Outside States CST (Central Sales Tax ie. @%) is
applicable.

All Tax Experts
We are manufacture assesses registered with the excise
department or our office and works area are commercial on
rent basis and lease holders charge service tax on rent or
raise the invoice on same premises address can we taken
credit of service tax, on input services and utilized in
Cenvat Credit with Excise pls. Explain me.