Before this, it was a plant that was highly used for its industrial, medical, and spiritual value.
It is a new idea in Indian Taxation system. It is expected to bring much needed reforms in the Indian taxation. It is a different system for the collection of tax. Under VAT system, tax is charged at each point of sale of goods with input tax credit for the tax paid at the earlier stage.
For example, under this system, when a person sells, goods, he collects the tax on sale price from the customer. At the end of the tax period, when he is required t5o make payment of tax, he reduces the tax paid by him at the time of purchase of those goods and pays the net amount to the government.
VAT is not an addition to the sales tax. It is a replacement of the sales tax. There will be no surcharge under VAT.
It is a multipoint tax, on value addiction at different stages of sale, with the provision for granting a refund of the tax paid at the earlier stage.
This ensures that the same commodity does not get taxed again and there is no cascading effect. Cascading effect of a tax means tax paid on tax.
In modern production technology, the same material passes through various stages and processes till it reaches the ultimate stage. In a system where tax is based on selling price of a product, the tax burden goes on increasing as the product passes from one stage to another.
Here is an example to show how tax is levied on tax. Manufacturer A supplies his output to B at Rs. B gets the material at Rs. While calculating the cost, B considers the cost of raw material at Rs.
Though value addition by B was Rs. Taxing of material, again and again, which has already been taxed, is called Cascading effect. B will however, get the credit of Rs. The effective duty paid by B will be Rs. C will get the goods at Rs. Initially, most states refused to implement VAT but after analyzing its benefits almost all the states decided to implement it with effect from April States were opposing VAT because with its implementation, they thought they might have to suffer losses in initial years.
But as the central govt. VAT was first introduced in Haryana. With the introduction of VAT, the exports will get a boost, as tax paid within the state will be refunded in full. With the phasing out of CST, there will be uniform tax rate all over the country.
Under the VAT system, the compulsory assessment system at the end of each year as it exists now would cease to exist. If no specific notice is issued, the dealer will be deamed to have been self- assessed.
Consumers will have a win-win situation under the VAT system. There will be a uniform rate of country. Once the cascading effect is removed, the prices of the commodities will come down and are paying. The VAT will therefore, help the common people, traders, industrialists, and the government.
It is a very efficient move towards fairness in the taxation system. As it generally happens VAT may have teething troubles in India.government Essay Examples Freedom and civil rights in the U.S essay the American government was creating a new type of civil vision, where citizens were primarily subjects, All men recognize the right of revolution; that is, the right to refuse allegiance to, and to resist, the government, when its tyranny or its inefficiency are great and.
A Business Proposal Example, Simplified. March 6, by Brittani Sponaugle. Yampa Valley Naturals has already obtained a city sales tax license, a state sales tax license, a wholesale and retail manufacturer license and insurance through Mountain West insurance agency.
We have no trademarks and are unsure as to zoning at this point as our. 30+ Examples of Middle-to-Upper Class Privilege If you are middle-to-upper class, these are a bunch of unearned societal benefits you get that folks in lower economic classes do .
The classification essay examples vegetables. by.
Speech research paper microsoft word essay online friendship job portal essay example written format my destiny essay roommate the best essay about friendship holidays my dog essay writing college days fashion ielts essay death penalty. Teacher training essay video my postman essay xml.
writing a classification paper Classification is sorting things into groups or categories on a single basis of division.
A classification paper says something meaningful about how a whole relates to parts, or parts relate to a whole. Sample Reflective Essay #1 Author: Prefers to remain anonymous As an English major I have learned to appreciate the peaceful, yet exhilarating moment when my mind engages with an author's thoughts on a .