VALUE ADDED TAX

Question 1

Explain output VAT

Answer 1

❤️ VAT should be charged on suppliers made by the vendor

❤️ Is when a vendor sells to another vendor

Question 2

Define Output tax

Answer 2

Section 7 (1)(a) provide that VAT shall be levied and paid at 15% for the benefits of The National Revenue Fund on :
❤️The value of
❤️Supply of goods or service
❤️By the Republic of South Africa
❤️By a vendor 💖in the course of furtherance
❤️of an enterprise

Question 3

Explain input VAT

Answer 3

❤️VAT can be claimed on suppliers received by the vendor

❤️When the vendor buys good from another vendor

Question 4

Define Input tax

Answer 4

Section 1

❤️VAT charged to a vendor by another vendor, on the supply of goods and services to him

Question 5

Court cases under input VAT

Answer 5

❤️Fact of CSARS VS DE Beers Consolidated mines limited (2012) ZASCA 103
❤️The facts of consol glass (pty) Ltd VS CSARS (2020) ZASCA 175