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[Cites 0, Cited by 1] [Section 13] [Entire Act]

State of Uttar Pradesh - Subsection

Section 13(1) in Uttar Pradesh Value Added Tax Act, 2008

(1)Subject to provisions of this Act, dealers referred to in the following clauses and holding valid registration certificate under this Act, shall, in respect of taxable goods purchased from within the State and mentioned in such clauses, subject to conditions given therein and such other conditions and restrictions as may be prescribed, be allowed credit of an amount, as input tax credit, to the extent provided by or under the relevant clause:
(a)Subject to conditions given in column 2, every dealer liable to pay tax, shall, in respect of all taxable goods except non-vat goods, capital goods and captive power plant, where such taxable goods are purchased on or after the date of commencement of this Act, be allowed credit of the amount, as input tax credit, to the extent provided in column 3 of the table below:
Serial No. Conditions Extent of amount of input tax credit
(1) (2) (3)
1 If purchased goodsare re-sold-(i) inside the State, or(ii) in the course of inter-state trade or commence; or(iii) in the course of the export of the goods out of theterritory of India. Full amount of input tax
2 If purchased goodsare used in manufacture of -(i) any goods except non-vat goods and where such manufacturedgoods are sold in the course of the export of the goods out ofthe territory of India; or(ii) any taxable goods except non-vat goods and where suchmanufactured goods are sold either inside the State or in thecourse of inter-state trade or commerce Full amount of input tax
3 If purchased goodsare -(i) transferred or consigned outside the State otherwise than asa result of a sale; or(ii) used in manufacture of any taxable goods except non-vatgoods and such manufactured goods are transferred or consignedoutside the State otherwise than as a result of a sale. Partial amount of input tax, which is in excessof rate prescribed under sub-section(1) of section 8 of theCentral Sales Tax Act,1956 of the purchase price on which thedealer has paid tax either to the registered selling dealer or tothe State Government.
(b)Input tax credit of full amount of input tax shall be allowed to every dealer, liable to pay tax, in respect of capital goods purchased on or after the date on which dealer becomes liable for payment of tax under this Act, if such goods are to be used in,-
(i)manufacture of any taxable goods except non-vat goods and where such manufactured goods is,-
A- sold within the State or in the course of inter-state trade or commerce or in the course of the export of the goods out of the territory of India; orB-transferred or consigned outside the State otherwise than as a result of a sale; or
(ii)manufacture of any exempt goods except non-vat goods and where such manufactured goods are sold in the course of export of the goods out of the territory of India; or
(iii)generation of electrical energy, where such energy is used for the manufacture of any taxable goods other than non vat goods and such manufactured goods is,-
A- sold within the State or in the course of interstate trade or commerce or in the course of export of the goods out of territory of India; orB-transferred or consigned outside the State otherwise than as a result of a sale; or
(iv)generation of electrical energy where such energy is used for the manufacture of any exempt goods and such exempt goods is sold in the course of export of the goods out of territory of India;
and the amount of input tax shall be computed and be claimed in prescribed manner.Explanation. - For the purposes of this clause,-
(a)if 90% of electrical energy generated is consumed for the purposes referred to in sub clauses (iii) and (iv), 100% Input Tax may be claimed and be allowed as Input Tax Credit.
(b)the expression 'generation of electrical energy' shall mean generation of electrical energy by using captive power plant including repairing and maintenance thereof."
(c)Subject to conditions mentioned in column 2 of the table under clause (a), every dealer, who is liable to pay tax on January 1, 2008 shall, in respect of all taxable goods except non-vat goods, capital goods and captive power plant, where such goods have been purchased within a period of six months ending on the date of commencement of this Act and where such goods-
(i)are held in opening stock on January 1, 2008 in the same form and condition in which they were purchased; or
(ii)have been used in manufacture of finished or semi-finished goods (in the process of manufacture of taxable goods except non-vat goods) or finished taxable goods, except non-vat goods and such finished or semi-finished goods are held in opening stock on January 1, 2008; and
(iii)have suffered levy of tax under the erstwhile Act, be allowed credit of partial or full, as provided in column 3 against relevant entry of the said table, amount of input tax as input tax credit and for this purpose amount of input tax shall be computed in the prescribed manner.
(d)Subject to conditions mentioned in column 2 of the table under clause (a), every dealer, who becomes liable to pay tax on a date after January 1, 2008, shall, in respect of all taxable goods, except non-vat goods, capital goods and captive power plant, where such taxable goods have been purchased on or after January 1, 2008 but within a period of six months ending on the day preceding the date on which such dealer has become liable to pay tax and -
(i)are held in opening stock, on the date on which the dealer has become liable to pay tax, in the same form and condition in which they were purchased;
(ii)have been used in manufacture of semi-finished goods (in the process of manufacture of taxable goods except non-vat goods) or finished taxable goods, except non-vat goods and such semifinished or finished goods as are held in opening stock on the date on which the dealer has become liable to pay tax; or
(iii)have been purchased from a registered dealer after obtaining sale invoice bearing name and address of purchasing dealer, be allowed credit of partial or full, as provided in column 3 against relevant entry of the said table, amount of input tax as input tax credit and for this purpose amount of input tax shall be computed in the prescribed manner.
(e)Every dealer who is liable to pay tax and who opts for payment of tax or lump sum under provisions of section 6, shall, in respect of all taxable goods, except non-vat goods, capital goods and captive power plant, which are held in stock at the end of the period during which provisions of section 6 remain applicable, be allowed credit of full or partial amount of input tax or deemed input tax, as the case may be, in accordance with provisions of clauses (a) to (d) above, as may be applicable:
Provided that unless the State Government, in exercise of its powers under second proviso of sub-section (1) of section 4, issues notification prescribing rate of tax and point of tax in respect of sale of sugar or textile referred to therein, no facility of input tax credit, in respect of goods purchased for use in manufacture of said goods, shall be allowed under any of the aforesaid clauses.Explanation. - For the purposes of this sub-section,-
(a)re-sale of goods includes transfer of property in goods (whether as goods or in some other form) involved in the execution of a works contract.
(b)goods required for use in manufacture of any goods shall not include goods required for running of captive power plant."
(f)[ Notwithstanding anything to the contrary contained in this sub-section where goods purchased are resold or goods manufactured or processed by using or utilizing such purchased goods are sold, at the price which is lower than [Inserted w.e.f. 20-08-2010 vide notif. no 1101(2) dt. 20-08- 2010, U.P. Act No 19 of 2010).]
(i)purchase price of such goods in case of resale; or
(ii)cost price in case of manufacture, the amount of input tax credit shall be claimed and be allowed to the extent of tax payable on the sale value of goods or manufactured goods.]