Value Added Tax (VAT)

Sale Tax And Value Added Tax|Question Practice

Additional expenses made after buying an article are included in the cost price and are known as Value Added Tax.

Calculate the Net Value Added at Factor Cost: (i) Goods and services tax 25 (ii) Consumption of ifxed capital 5 (iii) Closing stock 10 (iv) Corporate tax 15 (v) Opening stock 20 (vi) Sales 540 (Vii) Purchases of raw materials 140

Shruti bought a set of cosmetic items for Rs 345 including 15% value added tax and a purse for Rs 110 including 10% VAT. What percent is the VAT charged on the whole transaction?

Ajit buys a motorcycle for Rs 17600 including value added tax. If the rate of VAT is 10%, what is the sale price of the motorcycle?

Divid purchased a pair of shoes for Rs 441 including value added tax. If the sales price of the shoes is Rs 420, Find the rate of value added tax.

Reena goes to a shop to buy a radio, costing RS 2568. The rate of value added tax is 7%. She tells the shopkeeper to reduce the price of the radio to such an extant that she has to pay Rs 2568, inclusive of value added tax. Find the reduction needed in the price of the radio.