Section 15 in The Andaman and Nicobar Islands Value Added Tax Regulation, 2017
15. Second-hand goods.
(1)The provisions of this section shall apply where-(a)a registered dealer sells second-hand goods;(b)the registered dealer has purchased goods from a resident seller who was not registered under this Regulation;(c)the goods were purchased either as trading stock for re-sale in an unmodified form or otherwise or as raw material for incorporation or division into trading stock;(d)the registered dealer will be liable to tax under section 3 on the sale of the goods or the goods into which they were incorporated, as the case may be; and(e)the registered dealer has adequate proof of the amount paid for the goods.(2)In the circumstances mentioned in sub-section (1), the registered dealer shall be entitled to a tax credit for the purposes of section 9 of the least of-(a)the input tax borne by the resident seller when he purchased the goods;(b)the tax fraction of the original cost of the goods to the resident seller;(c)the tax fraction of the fair market value of the goods at the time of their purchase by the registered dealer; or(d)the tax fraction of the consideration paid by the registered dealer for the goods.(3)Where the amount paid by the registered dealer for the goods exceeds two thousand rupees, the tax credit shall be allowed in the tax period when the goods are sold by the registered dealer or the goods into which they have been incorporated are sold by the registered dealer.
