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Former Member
Jan 31, 2008 at 06:42 AM

VAT on Import Purchase !!!

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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 case..so request you all if anybody have idea please help me.

It is vey urgent...

Regards

Yogesh