| |
| Transactions liable for tax under the DVAT Act
– Sale [Section 2(1)(zc)] |
| |
| The term “sale” in DVAT Act covers the following
transactions in its ambit: |
|
|
Transfer of property
in goods by one person to another. |
|
Transfer of property by auctioneer,
banks and insurance companies. |
|
Transfer of goods on hire purchase
or other system of installments. |
|
Supply of goods by a society
(including co-operative society), club, firm, or
any association to its members. |
|
Transfer, otherwise than in
pursuance of a contract, of property in any goods. |
|
Work contract transactions.
|
|
Leasing – Transfer of
right to use goods. |
|
Supply, by way of or as part
of any service or in any other manner, of goods,
being food or any other article for human consumption. |
|
Every disposal of goods as unclaimed
or confiscated, or unserviceable or scrap, surplus,
old, obsolete or as discarded material or waste
products. |
|
| |
| Compulsory Registration |
| |
| Every dealer is required to
apply for registration under this Act if:- |
| |
| Taxable Quantum |
| |
|
Section
|
Circumstances |
Taxable
Quantum (Rs.) |
a |
16A(7) |
Casual trader as defined
u/s 2(1)(g) |
NIL |
b |
18(2) |
Dealer who imports
any goods for sale in Delhi |
NIL |
c |
18(2) |
Any other dealer |
10,00,000.00 |
|
| |
In case of dealers who are engaged in works
contract activities, taxable quantum means
the gross turnover, that is, the turnover
before deducting therefrom amount of labour
and services.
|
| In accordance with section
18(3) of the Act, taxable quantum of a dealer
shall not include turnover from:- |
| |
A) |
Sales of
capital assets. |
B) |
Sales made in course
of winding up of dealer’s activities. |
C) |
Sales made as part of
the permanent diminution of the dealer’s
activities. |
|
| |
|
