Section 20(1) in The Karnataka Value Added Tax Act, 2003
(1)Tax paid under this Act by any dealer on purchase of inputs in respect of,-(a)any goods sold in the course of export out of the territory of India, or(b)any goods taxable under the Act, sold in the course of interstate trade or commerce, or(c)any goods sold to a dealer who is a unit located in any special economic zone established under authorisation by the authorities specified by the Central Government in this behalf, or(d)any goods sold to a dealer who is an Export Oriented Unit,shall be deducted as provided under Section 10, from output tax payable by such dealer.
