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azeez (proprietor)     29 December 2012

Information required reg % of apvat applicable

Dear sir

Good wishes of the day. we are the suppliers of equipments/machinery related to solvent extraction plants, palm oil mills and the spares used in this companies. we are supplying on APVAT 5% tax by taking purchase order from the party from the past 6 years.  But now recently the sales tax officers came for audit of my firm and they are saying that my firm comes under work contract and have to collect 14.5% tax.

i am in dilemma now what to do. they didnt notify me from the starting of my firm and now suddenly they are saying like this. so please suggest me what to do and provide me the proofs so that i can show them that the solvent extraction plant machinery comes under APVAT 5% category

 

thanks and regards



Learning

 1 Replies

V.Devananda Narasimham (Advocate)     29 December 2012

On my overall verification of tax schedule your machinery and parts are not specifically coming under  5% catagory. However you are requested to contact a tax advocate and discuss the issue in order to avoid RNR tax liability. Thanks.


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