our manufacturing company, i have received different type
of excise bill. for ex. abc invoice purchased oil 17966.88
qty @54.80 inducing excise duty 14% tn how separate rate n
excise calculated



our manufacturing company, i have received different type of excise bill. for ex. abc invoice purch..

Answer / abhivirthi tax and industrial

Some dealers will issue sale bills to aggregate amount i.e. including tax. If tax is not shown separately the tax element and principal amount has to be arrived applying the following formula.

Rate of Tax X Aggregate of Sale Price
100 + Rate of Tax

By using the above formula, the rate of the commodity and tax or excise duty etc. will be separated and after arriving the rate of commodity, divide by quantity and the actual rate will be available.

14 X 17966.66 2206.46 is 14% Excise Duty
114
15760.42 is the rate of 54.80 quantity
------------
17966.88 is the invoice amount
------------

The above formula is available under Section 8-A Determination of Turnover of the Central Sales Tax Act, 1956.

Reply from:
ABHIVIRTHI Tax and Industrial Consultancy
R.R. Jagadeesan
VAT PRACTITIONER AND INDUSTRIAL CONSULTANT
H-63, Palaami Enclave, New Natham Road,
Madurai-625014
www.abhivirthi.blogspot.com
Cell: 9994990599

Is This Answer Correct ?    0 Yes 0 No

Post New Answer

More Taxation Interview Questions

what r the differences among GRN, TOT, VAT and other regestration numbers. what is the limit to the turnover according to vat act?Pleas clear my doubt.

1 Answers   Satyam, Texus, Vinayak Traders,


what is document require for vat registration?

4 Answers  


Hello! My annual salary is @ Rs.6,00,000/-. What would be the TDS applicable for me per annum/per month. I am also contributing to EPF @ Rs.9360/-.

0 Answers  


what is procedure to get c form? what is procees to get vat /tin no

0 Answers  


Ir we have bill for CST 2% we made entry 12.5% by mistake then what is solutin for C-form

0 Answers  






How to calculate service tax in construction catatory

10 Answers  


can anybody provide me the format of PF & ESI with the rate chart.

2 Answers   OPI Global,


what is the rate of taxes for works contract

7 Answers  


local sale tax rate is 5%, 12.5%. what will be CST rate without c form ?

4 Answers  


What is the limite of deducted of WCT & how we fill the return in Haryana

1 Answers   Vardhman,


what is the entry for bad debts?

3 Answers   Accenture, CBL, Ernst Young, GNCC,


What is supporting documents enclosed & must be required to Submit of quarterly & Yearly Sale Tax Return?

2 Answers  


Categories