07-18-2011, 11:11 PM
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by olympia</i>
<br />We r going to buy some Safety items (Like jackets, shoes, gloves & Helmet..... etc) for our employees. Parties charged sales tax on these items. Could we adjust this sales tax or not?
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
According to Sales Tax Act, 1990, to claim input adjustment all the three following conditions are to be satisfied;
i You are making a taxable supply (s.8(1)). For making taxable supplies you must be retailer, supplier, manufacturer, importer of the goods supplied (see definition of taxable supplies & s.2(41))
ii. You must be a registered person S.8(3)
iii. You are selling that supplies and charging output tax (adjustment of input tax against such output tax should not be more than 90% of input tax) s.8B
<br />We r going to buy some Safety items (Like jackets, shoes, gloves & Helmet..... etc) for our employees. Parties charged sales tax on these items. Could we adjust this sales tax or not?
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
According to Sales Tax Act, 1990, to claim input adjustment all the three following conditions are to be satisfied;
i You are making a taxable supply (s.8(1)). For making taxable supplies you must be retailer, supplier, manufacturer, importer of the goods supplied (see definition of taxable supplies & s.2(41))
ii. You must be a registered person S.8(3)
iii. You are selling that supplies and charging output tax (adjustment of input tax against such output tax should not be more than 90% of input tax) s.8B
