| State |
BIHAR {Sec.16 / Rule 12,14,15,} |
KERALA {Sec.11,12,13 / Rule
12-A,12-C,13,14,15,46,47,47-A} |
Full VAT Input Tax Credits - Eligibility / admissibility &
purposes specified |
On
VAT-paid purchases upon receipt of Tax invoice; for Sale/resale of taxable
goods in/from Bihar; for Capital goods for resale or manufacture of taxable
goods; Use in manufacture / packing of taxable goods for sale |
On ALL VAT-paid
goods purchased, for purposes of Resale in/from Kerala, for use in works
contracts, for use as input/capital goods in manufacture / processing of
goods; for packing; for inter-State sale.
|
| Conditions / Restrictions |
Input
tax rebate can be adjusted against Output VAT or CST; rebate can be carried forward to subsequent
months until year-end; and excess can be claimed as refund within 3 mths or
can also be carried forward to next year. |
Input tax
rebate can be adjusted against Output VAT, E.T. or CST; Excess can be c/f to next Tax periods until
last Return of year, and thereafter granted as refund. Input tax rebate on all Capital goods (over
10 lacs) allowed over period of 3 yrs from date from which Capital goods are
put to use; for industrial units the period is 12 mths; If Capital goods are
sold/branch transferred, the ITC claimed to be reversed. Decl Form '21-B'/'21-C'/'21-J'
from seller prescribed for claiming ITC. |
| Reduction in Set-offs / Reversal of Input Tx credit |
Reduction
of 4% of net Purchase price (i.e. set-off available in excess over 4%); in
case of Branch Transfers outside Bihar of goods purchased or of finished
goods out of raw materials purchased (disposals otherwise than by way of
sale). |
Reduction of
4.04% of net Purchase price (i.e. set-off available in excess over 4%) in
case of Branch Transfers outside Kerala of goods purchased or of finished
goods out of raw materials purchased (disposals otherwise than by way of
sale); or where the goods sold in inter-State are exempt. |
| Non-admissibility |
No set-off
allowed on purchases where (i) Composition Tax is paid (ii) Goods purchased
are given out on lease (iii) Capital goods like Civil structure and immovable
goods or properties, Vehicles, Office equipments, furniture, electrical
fixtures; |
No set-off allowed on (i) Air
conditioners (ii) Civil structure and immovable goods or properties (iii)
Vehicles other than goods delivery vehicle (iv) Office furniture/fixtures/
fittings/equipments (v) Elevators (vi) Computers other than for business puepose
(vii) All kinds of cranes, earth movers, JCB, Excavators, Road rollers,
concrete mixing machine and other similar machineries used in connection with
supply of labour and services (viii) Building materials and fixtures used in
construction activities (ix) Capital goods purchased prior to VAT Act (xi)
purchases from dealer paying
compounded tax (xii) goods remaining unsold at closure of business. |
