(a) An importer imported goods paying VAT amounted Rs. 5,200. He (importer) incurred carriage expenses of Rs. 3,000 and sold them to a retailer…
BBS Taxation in Nepal · 2081 · Solved Question with Answer
(a) An importer imported goods paying VAT amounted Rs. 5,200. He (importer) incurred carriage expenses of
Rs. 3,000 and sold them to a retailer charging 10% margin on cost. The retailer sold the goods to customer
charging 20% margin on outlay with Rs. 1,000 as selling expenses there on.
Required:
(i) Cost price of customer (ii) Total VAT payable to government at each stage(b) "Value Added Tax is levied on added value of goods and services."Explain in brief.