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Ankit Gupta
What is form 2A & 2B
Form 2A contain the details of all local
purchases made by a registered dealer during the period (quarter) & Form 2B
contain the details of local Sales made by a registered dealer during the
period (quarter).
Who is required to fill Form 2A & 2B
Every dealer who is registered under DVAT Act
’2004 except Banquet halls & person carrying on E commerce business (say.Flipkart,Snapdeal)
What is the content of Form 2A & Form 2B
Following details are
required to be given in Form2A
- TIN of Seller/Purchaser
- Name of Seller/Purchaser(Autofilled)
- Classification of goods (VAT Rate)
- Invoice Amount
What is 2A & 2B mismatch.
It can better be understand with the help of
an illustration
Suppose Mr.A purchase goods from Mr.B
INVOICE
Value =Rs.1000
+VAT =Rs.50
Invoice Value =Rs.1,050
Now,
Mr.A in his form 2A wrongly shows
Purchase value = Rs.1100
+VAT = Rs.55
Invoice Value = Rs1155
&
Mr.B in his form 2B correctly shown the sales
at
Value =Rs.1000
+VAT =Rs.50
Invoice Value =Rs.1,050
The difference in Vat value (Rs.55-Rs.50) Rs.5
is called as VAT Mismatch
What are the reasons of Mismatch
Following can be the
reasons of mismatch
- Entered incorrect TIN Number
- Entered incorrect amount
- Issuance of Retail invoice in place of Tax Invoice
Who receive notice of Mismatch
Only Purchaser of Vatable goods receive notice
from Department of Trade & Taxes
Since, it is the responsibility of the
purchaser to provide correct information to the department as he is willing to
claim Input Tax Credit against output VAT liability.
If purchaser provide incorrect information at
higher value then it will create additional VAT Liability to him only which is
beneficial to Department.
Practically , No notice is received nowadays ,
directly demand order received in Form 24 Specifying the amount of VAT &
Interest and Form 24A specifying the amount of penalty
At what rate Interest would become payable by
the dealer
If the dealer fails to pay VAT demand within
the time as may be specified in the demand order, then he shall be liable to
pay Interest in addition to VAT payable at the rate of 1.25%per month of part
of month.
Is it possible to waive off Interest in an
appeal or otherwise
No , Not at all
What is the amount of penalty that can be
levied by VAT officer in respect of mismatch report
Amount of penalty that can be levied on
Dealer: Rs.10,000 or VAT demand whichever is higher.(Without Limit)
Is it possible to waive of Penalty
Yes, It is possible to waive off penalty
through an appeal made to Appellate Authority with 30 days from the date of
order.
If the dealer is aggrieved with the order
passed by Appellate Authority then he can file second appeal to Sales Tax
Appellate Tribunal
How to remove 2A-2B Demand & Penalty
If the mismatch arise due to mistake in DVAT
return then it can easily be rectified by revising the return either by Seller
or by Purchaser, if the revise period is still available
Payment of VAT as demanded in Form 24 (Demand
order)
Filing an appeal to Appellate Authority
(Author Can Be Reached
At 9811985576 or ankitg2711@gmail.com for For DVAT Registration –
Consultancy – Filings)
Planning to be a Merchant/ seller with Flipkart, Amazon, Snapdeal ????
ReplyDeleteStart selling your products online at Snapdeal, Flipkart, and Amazon with your own TIN number in just 1500/-
Register yourself with sales tax department to get TIN number in Delhi, call us @ 9953318433
Planning to be a Merchant/ seller with Flipkart, Amazon, Snapdeal ????
ReplyDeleteStart selling your products online at Snapdeal, Flipkart, and Amazon with your own TIN number in just 1500/-
Register yourself with sales tax department to get TIN number in Delhi, call us @ 9953318433
Sir ,please tells me procedure step by step how to revised Dvat return in case of mismatch report.
ReplyDelete