How to calculate VAT
I have one Distribution, when i give order to company, company will send products directly to my place with bill(which include 14.5% VAT as per Karnataka state).
then i will distribute products to retailers, when i am distributing products to retailers - how i should charge VAT to retailers? and is it i need to pay Tax to the Govt?
Could you please help me sir.
You need to charge vat at value charged to buyers. You need to pay VAT to government after taking eligible input credit.