input tax


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input tax

VALUE ADDED TAX paid on the purchase of goods and services used by a VAT registered person for the purpose of their business.
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Citing RR 09-89, the CTA ruled that disallowed/denied claim for input tax is recorded as purchases or cost of sales, which is classified as an expense account and a deduction from a taxpayer's sales/revenue.
Enjoy the benefits of the input tax credit on the purchase of capital goods
Delhi, in a case of fraudulent issuance of Input Tax Credit invoices without actual supply of goods, involving GST evasion of approximately Rs 40 crores on the taxable value of concocted supplies of Rs 210 crores.
Malaysia's now-repealed GST Act mandated, however, that the consumption tax collections be recorded in a trust account in order to facilitate input tax refunds, Khoo noted.
'Trading activities would come into a grinding halt if condition of disclosing CNIC for sales to unregistered persons is not delayed for at least one year.' While addressing a mass gathering of businessmen, the LCCI President Almas Hyder said that disallowance of input tax relating to supplies made to an unregistered person without disclosing his CNIC is a burden on traders with inherent complications
Currently, the output sales tax is charged on the sale of tractors at 5% against 17% input tax paid on purchase of components, local as well as imported.
Currently, output sales tax is chargeable on the supply of tractors @5% as against 17% payable as input tax while purchasing components, local as well as imported.
Currently output sales tax is chargeable on supply of tractors @5% as against 17% payable as input tax while purchasing components, local as well as imported.
Businesses need to differentiate between recoverable, partially recoverable and irrecoverable VAT, as well as using tax codes as a mechanism to monitor input tax claim process.
The FBR officers also clarified the sales tax law relating to capital asset purchase and adjustment of input tax under section 8B of Sales Tax Act 1990.
Even the registered businesses do not always operate within the limits of the sales tax legislation, because they frequently acquire fake purchase invoices in order to boost deductible input tax.
When the Goods and Services Tax (GST) Council meet last week, the outcome was that now real estate developers could choose either to opt for old GST rate with input tax credit benefit or go for the new reduced GST rate without input tax credit.