Input Credit availment/Non availment, VAT + CST

[Pradeep Kumar]

Dear All

Kindly provide me the reply of following issue:

a) Company has not availed the credit of VAT charged by the person from whom vehicle was repair.

b) Company has not availed the credit of VAT charged by the person from whom house keeping items purchases.

Are they eligible or not for claiming VAT Credit as per Tamil nadu Vat Act? If anyone has any information kindly share.

Regards

Pradeep

Posts / Replies

[YAGAY AND SUN]

Under DVAT Act, these items are not allowable for availing ITC.

[SUROJIT SARDAR]

To avail cenvat credit one have to satisfy the following conditions,-

1. both parties must have registered no.

2. both party must be within state.

3. product should be taxable.

4. transaction should be made against valid tax invoice.

5. material should be direct use in business.