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Former Member
Jan 31, 2008 at 06:42 AM

VAT on Import Purchase !!!


Hello All

Sorry posting this query second time as have not got any solution when posted it few months back.

Need help for designing IMPORT pricing procedure for a specific case (Thailand).

Our client applies VAT - 7% on total value of the Import PO i.e. at the end.

Their Pricing Structure is like:

1 Basic Price

2 Freight

3 Insurance

4 Custom Duty

5 Surcharge

6 Excise

7 Internal Duty

Net value = (1234567)

and then

8 VAT on this Net Value.i.e 7% of (1234567).

They are paying this 7% directly to government and not to the Foregin Supplier.

Now this VAT amount is deductable as they are having a VAT return report submitted to the government each month.

i don't know how to handle this request you all if anybody have idea please help me.

It is vey urgent...