We are purchasing Diesel for running Boiler Plant, We are taking set off for “Turbojet diesel” purchased by reducing 3% as reduction cost, the party supplying diesel was giving us gross bill where bifurcation of VAT
was not done. We are reverse calculating the vat amount by 12.50% Vat on diesel and claiming the set off, but this working cannot be taken in to consideration always, As per party supplying diesel they cannot give bifurcation of VAT in their bill
as they are not charged by the company itself.
On the Mahavat website Vat on High speed diesel Oil is shown @ 20%
Please confirm whether we can claim set off on diesel or not and if yes then which Vat percentage to be considered


Admin’s Response:

Thanks for your query. Currently, Tax Gyan experts only answer Income Tax and Home Loan related queries. Please refer our FAQ to know more.

Nevertheless, publishing the query here to invite comments from other users.