Comments on: Opinion – Levy of VAT on Transfer of Assets http://taxguru.in/goods-and-service-tax/opinion-%e2%80%93-levy-of-vat-on-transfer-of-assets.html Complete Tax Solution Sat, 26 May 2012 20:31:08 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: ramkumar http://taxguru.in/goods-and-service-tax/opinion-%e2%80%93-levy-of-vat-on-transfer-of-assets.html#comment-394125 ramkumar Wed, 30 Mar 2011 04:26:14 +0000 http://www.taxguru.in/?p=17009#comment-394125 what is the tax implication on following transaction Mr A sold his business (tangible & intangible assets) by way of asset purchase agreement with Mr.B for a sum of 2 crores. Of which A sold value of tangible goods (goods & business assets) for 1.6 crores for which he has paid applicable duty & sales tax. for the balance 40 lakhs he has sold intangible assets like commercial rights of customer, pending order for execution, patent & customer rights. my query is whether vat tax is applicable(under karnataka value added tax act) for 40 lakhs received from B towards transfer of intangible assets.? your opinion is needed in this issue what is the tax implication on following transaction

Mr A sold his business (tangible & intangible assets) by way of asset purchase agreement with Mr.B for a sum of 2 crores. Of which A sold value of tangible goods (goods & business assets) for 1.6 crores for which he has paid applicable duty & sales tax. for the balance 40 lakhs he has sold intangible assets like commercial rights of customer, pending order for execution, patent & customer rights.

my query is whether vat tax is applicable(under karnataka value added tax act) for 40 lakhs received from B towards transfer of intangible assets.?

your opinion is needed in this issue

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