Guj-VAT Notifications–Reversal of ITC on purchases used for inter-state trade
[By Shaleen Shah (Partner), VNCA] We have informed you earlier (Guj-VAT Notification: Disallowance of ITC) that under Gujarat VAT laws, Input Tax Credit (ITC) is to be reversed by 2% on taxable turnover of Purchases when – (a) the goods are sold / resold in the course of inter-state trade