Tax on CSR
AJAY KUMAR
(Querist) 29 April 2014
This query is : Resolved
Dear sir;
If taxable material purchase for CSR by ltd company so what vat tax applicable or not in chhattisgarh
R.V.RAO
(Expert) 30 April 2014
the categorisation of vat tax in chhattisgarh state is not dependant on csr(corp.social responsibility) or non -csr basis.like in any other state the vat rates here are in various rate slabs like 1 % to 25%. see below,the state policy on same.
As per Chhattisgarh Value Added Sales Tax Act, 2003, every dealer whose turnover during a period of twelve months exceeds the prescribed limits becomes liable to pay VAT. The state has five different rates of VAT applicable to different categories of products – exempt, 1 percent, 5 percent, 14 percent and 25 percent. Most of the raw agriculture and horticulture produce and processed foods have been included in the exempt, 1 percent and 5 percent tax brackets.
so unless you specify nature of material purchased for csr purpose, it is not possible to tell applicable vat rate.
since csr is relatively new concept in india,there is no vat exemption applicable.Moreover vat being a state govt. subject ,each state govt. has to take a call on issue of vat exemption.
T. Kalaiselvan, Advocate
(Expert) 30 April 2014
Though academic query, Mr. R.V. Rao has given good explanation and opinion to the query raised by author.
R.V.RAO
(Expert) 01 May 2014
Thanks.Thiru kalaiselvan ji.
AJAY KUMAR
(Querist) 01 May 2014
any goods of Part II of schedule II
R.V.RAO
(Expert) 02 May 2014
after 2005 amendment in chhattisgarh vat act ,part II OF sch II RATES stand @4%.
