online purchase of laptop

ashish (Querist) 25 June 2008 This query is : Resolved
R/SIR/MADAM
MY CLIENT WANTS TO PURCHASE A LAPTOP 4M DELL INDIA PVT.LTD. ONLINE.
THE CO`S PRICE IS APPROX 35300Rs.INCLUDING BASIC 31862Rs. AND EXCISE OF 3380.25Rs.
MY QUERY IS -(1)WHETHER MY CLIENT HAVE TO APPLY FOR JHARKHAND VAT 503/504(PERMIT)OR NOT? (2)IF YES,IS HE LIABLE 4 SALES TAX OF 4%ON 35300RS.(3)WHAT ARE THE LEGAL FEES RELATED ON THIS MATTER OF THE DEPARTMENT? (4)PLZ ALSO TELL ME TO SEE OTHER SECTIONS RELATED IN THIS MATTER.

IF POSSIBLE PLZ REPLY URGENTLY.
WITH WARM REGARDS TO ALL SENIORS.

Follow Query

Report Abuse

Guest (Expert) 25 June 2008
wHEN YOU PURCHASE AN ONLINE PRODUCT, THE SELLER WILL LEVY ALL THE TAXES APPLICABLE AND SHIP IT TO YOU.

WHY SHOULD BE LIABLE TO TAX, ARE YOU RESELLING IT OR WHAT.

IS YOUR CLIENT A DEALER IN COMPUTERS, SO AS TO GET REGD. UNDER THE VAT ACT OF JHARKAND.

IF HE IS USING IT FOR PERSONAL USE, THEN NO NEED TO APPROACH VAT DEPARTMENT.

ashish (Querist) 25 June 2008
R/SIR
MY CLIENT IS USING THE LAPTOP 4 PERSONAL USE,BUT ACC.TO RULE 42 OF JHARKHAND VAT
-NO PERSON SHALL TRANSPORT ANY CONSIGNMENT OF GOODS REFERRED TO U/S 72(2)EXCEEDING SUCH QUANTITY AS MAY BE SPECIFIED IN THE NOTIFICATION,EXCEPT IN ACCORDANCE WITH THE FOLLOWING CINDITIONS,NAMELY
(1)IF ANY SUCH CONSIGNMENT IS TO BE SO TRANSPORTED BY OR ON BEHALF OF ANY UNREGISTERED DEALER OR BY ANY OTHER PERSON ,HE SHALL(a)MAKE AN APPLICATION IN FORM JVAT 502 IN TRIPLICATE TO THE PRESCRIBED AUTHORITY OF THE CIRCLE 4 GRANT OF A PERMIT(JVAT503)TO ENABLE HIM TO TRANSPORT THE CONSIGNMENT.

SIR,KINDLY HELP.

Guest (Expert) 27 June 2008
If you carrying it with also keep a copy of the bill of sale in respect of the computer and if and when you are asked by any empowered officer (WHich I donot think has happened ans will happen) produce the bill and state that the computer is for personal use and you are not delaing with computers. What should be done is in 72(3) quoted below.

I(3) The driver or person in charge of vehicle or goods carrier in movement, whether for the purpose of sub-section (1) or (2) of this Section, shall
(a) carry with him the records of the goods including challan, bills of sale or dispatch memos and prescribed declaration form duly filled in and signed by the consignor of goods carried.
(b) stop the vehicle or goods carrier at every check post set up under sub Section (1) or at any other place by an officer authorised by the Commissioner in this behalf;
(c) produce all the documents including the prescribed form relating to the goods before the officer in charge of the check post or the authorised officer;
(d) give all the information in his possession relating to the goods;
(e) allow the inspection of the goods for search of the vehicle by the officer in charge of the check post or any authorised officer.

Guest (Expert) 28 June 2008
Asish,

Is my point clear,

Once you use the laptop for personal use and not for carrying on business of dealing in computer, you are out of it. Eventhough at many places the Act uses person, it usually means person who is a dealer.