30. Computation of Output Tax, Purchase Tax, Input Tax and Tax Due. -

(1) Output tax in respect of a VAT dealer for a tax period is the aggregate of tax calculated on the sale of taxable goods made by him in the State during the tax period. It shall be represented by total of entries in column (h) in the VAT Account Register (sale side) prescribed in rule 61.

(2) Any goods purchased within the State by a VAT dealer on the sale of which to him no tax is levied or paid under the Act and such goods are used or disposed of by him during a tax period in the circumstances that no tax is payable by him under the Act on them, or the goods manufactured there from are sold in the course of export of goods out of the territory of India, shall be liable to pay tax on the purchase of such goods at the rate(s) specified under sub-section (4) of section 12 of the Act.

(3) Input tax in respect of a VAT dealer is the aggregate of tax paid in respect of goods purchased within the State from other VAT dealer(s) on tax invoice(s) during the tax period, which shall be the aggregate of entries made in column (g) in the VAT Account Register (Purchase side) prescribed in rule 61 in respect of the said period.

Illustration – The aggregate of entries made in column (h) in the VAT Account Register (Sale side) in respect of a tax period in case of a VAT dealer D is Rs.10,000. D exported goods worth Rs.1,00,000 out of the State (sent for sale on consignment) during the said period. These goods were purchased by him within the State from VAT dealers on tax invoices over a span of past three tax periods on payment of tax aggregating to Rs.8000. Therefore D's net dues during the tax period shall be Rs. 10,000 – Rs. 8,000 = Rs. 2,000.

(4) The tax due required to be paid by a VAT dealer for a tax period shall be the output tax, calculated under sub-rule (1), plus the purchase tax, calculated under sub-rule (2), minus the input tax, calculated under sub-rule (3). Arithmetically put:

Tax due = Output tax + Purchase tax – Input tax.