{ "$comment": "Machine-readable companion to https://valem.run/calculators/pakistan/vat. Formula, inputs, outputs, engine-verified test vectors, cited sources and the re-runnable Valem ModelSpec behind the page.", "url": "https://valem.run/calculators/pakistan/vat", "dataUrl": "https://valem.run/calculators/pakistan/vat.json", "license": { "name": "CC BY 4.0", "url": "https://creativecommons.org/licenses/by/4.0/", "attribution": "Pakistan sales tax model by Valem (https://valem.run/calculators/pakistan/vat), CC BY 4.0.", "note": "Covers the model — the expression of each rule and the arrangement of the catalog. The rates and thresholds themselves are law and are not licensed by anyone; the cited sources are where they come from." }, "verificationUrl": "https://valem.run/calculators/pakistan/vat/verify", "country": "pakistan", "countryName": "Pakistan", "formula": "vat", "formulaName": "Sales tax", "localName": null, "localLang": null, "englishName": "Sales tax", "title": "Sales tax calculator Pakistan 2026-27 — 18% GST on goods", "answer": "Pakistan charges federal sales tax of 18% on the value of taxable goods, plus a further 4% when the buyer is not registered or not on the active taxpayers’ list; exports are zero-rated, and services are taxed separately by the provinces.", "lang": "en", "currency": "PKR", "taxYear": "2026-27", "verification": { "claim": "internal-consistency", "statement": "The Valem engine reproduces this model's stated formula through 11 self-test cases (below, and re-runnable against the spec). That asserts internal consistency, NOT that the formula matches current law — the cited sources are the evidence for that, and carry the date each was last checked.", "selfTestCases": 11, "ratesAreIllustrative": false, "sourcesCheckedOn": "2026-11-01" }, "sources": [ { "label": "Sales Tax Act 1990 (FBR, amended to 30 June 2026) ss.3(1), 3(1A), 4", "url": "https://download1.fbr.gov.pk/Docs/20267171373418951SalesTaxAct1990updatedupto30.06.2026.pdf", "checked": "2026-11-01" }, { "label": "Sales Tax Act 1990 ss.2(5AB), 14: cottage industry Rs8 million, registration", "url": "https://download1.fbr.gov.pk/Docs/20267171373418951SalesTaxAct1990updatedupto30.06.2026.pdf", "checked": "2026-11-01" }, { "label": "Sales Tax Act 1990 s.3(1A): further-tax exclusions by SRO 648(I)/2013 as amended", "url": "https://download1.fbr.gov.pk/Docs/20267171373418951SalesTaxAct1990updatedupto30.06.2026.pdf", "checked": "2026-11-01" } ], "terminalOutput": "mustRegister", "headlineOutput": "vatAmount", "inputs": [ { "name": "amount", "type": "number", "label": "Amount (PKR)", "minimum": 0 }, { "name": "direction", "type": "string", "label": "This amount is", "enum": [ "add", "remove" ] }, { "name": "category", "type": "string", "label": "What is being supplied", "enum": [ "standard", "export", "fifthSchedule" ] }, { "name": "unregisteredBuyer", "type": "boolean", "label": "Buyer is not registered or not on the active taxpayers’ list (4% further tax)" }, { "name": "reverseCharge", "type": "boolean", "label": "Goods notified under s.3(3A) — the buyer pays the tax" }, { "name": "annualTurnover", "type": "number", "label": "Annual turnover of a manufacturer (PKR)", "minimum": 0 }, { "name": "industrialConnection", "type": "boolean", "label": "Has an industrial gas or electricity connection" }, { "name": "residentialArea", "type": "boolean", "label": "Located in a residential area" }, { "name": "overTenWorkers", "type": "boolean", "label": "Labour force of more than ten workers" } ], "outputs": [ { "name": "rate", "type": "number", "formula": "(category = 'standard' ? $const.salesTaxRate : $const.zeroRate) + ((unregisteredBuyer and category != 'export') ? $const.furtherTaxRate : 0)" }, { "name": "effectiveRate", "type": "number", "formula": "reverseCharge ? 0 : $round(rate, 4)" }, { "name": "netAmount", "type": "number", "label": "Value (excluding tax)", "format": "currency", "formula": "direction = 'remove' ? $round(amount / (1 + effectiveRate), 2) : $round(amount, 2)" }, { "name": "furtherTax", "type": "number", "label": "of which further tax 4%", "format": "currency", "formula": "(unregisteredBuyer and category != 'export' and $not(reverseCharge)) ? $round(netAmount * $const.furtherTaxRate, 2) : 0" }, { "name": "vatAmount", "type": "number", "label": "Sales tax charged", "format": "currency", "formula": "$round(netAmount * effectiveRate, 2)" }, { "name": "selfAssessedVat", "type": "number", "label": "Sales tax paid by the buyer (s.3(3A))", "format": "currency", "formula": "reverseCharge ? $round(netAmount * (category = 'standard' ? $const.salesTaxRate : $const.zeroRate), 2) : 0" }, { "name": "grossAmount", "type": "number", "label": "Gross", "format": "currency", "formula": "$round(netAmount + vatAmount, 2)" }, { "name": "mustRegister", "type": "boolean", "label": "Manufacturer must register", "formula": "$n(annualTurnover) > $const.cottageTurnoverLimit or industrialConnection or $not(residentialArea) or overTenWorkers" } ], "testCases": [ { "description": "V1 Rs100,000 of taxable goods: 18% = Rs18,000", "given": { "amount": 100000, "direction": "add", "category": "standard", "unregisteredBuyer": false, "reverseCharge": false, "annualTurnover": 0, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "vatAmount": 18000, "grossAmount": 118000, "effectiveRate": 0.18 } }, { "description": "V2 Rs118,000 including tax back to Rs100,000", "given": { "amount": 118000, "direction": "remove", "category": "standard", "unregisteredBuyer": false, "reverseCharge": false, "annualTurnover": 0, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "netAmount": 100000, "vatAmount": 18000 } }, { "description": "V3 to an unregistered buyer: 18% + 4% further tax = Rs22,000", "given": { "amount": 100000, "direction": "add", "category": "standard", "unregisteredBuyer": true, "reverseCharge": false, "annualTurnover": 0, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "rate": 0.22, "furtherTax": 4000, "vatAmount": 22000, "grossAmount": 122000 } }, { "description": "V4 an export is zero-rated", "given": { "amount": 100000, "direction": "add", "category": "export", "unregisteredBuyer": false, "reverseCharge": false, "annualTurnover": 0, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "vatAmount": 0, "grossAmount": 100000 } }, { "description": "V4b an export to an unregistered buyer abroad: no further tax", "given": { "amount": 100000, "direction": "add", "category": "export", "unregisteredBuyer": true, "reverseCharge": false, "annualTurnover": 0, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "furtherTax": 0, "vatAmount": 0 } }, { "description": "V4c Fifth Schedule goods to an unregistered buyer: s.4 keeps the 4% further tax", "given": { "amount": 100000, "direction": "add", "category": "fifthSchedule", "unregisteredBuyer": true, "reverseCharge": false, "annualTurnover": 0, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "rate": 0.04, "furtherTax": 4000, "vatAmount": 4000 } }, { "description": "V5 goods notified under s.3(3A): the seller charges none, the buyer pays Rs18,000", "given": { "amount": 100000, "direction": "add", "category": "standard", "unregisteredBuyer": false, "reverseCharge": true, "annualTurnover": 0, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "vatAmount": 0, "grossAmount": 100000, "selfAssessedVat": 18000 } }, { "description": "V6 Rs8 million of turnover is still a cottage industry (“does not exceed”)", "given": { "amount": 100, "direction": "add", "category": "standard", "unregisteredBuyer": false, "reverseCharge": false, "annualTurnover": 8000000, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "mustRegister": false } }, { "description": "V7 above Rs8 million a manufacturer must register", "given": { "amount": 100, "direction": "add", "category": "standard", "unregisteredBuyer": false, "reverseCharge": false, "annualTurnover": 8000001, "industrialConnection": false, "residentialArea": true, "overTenWorkers": false }, "expect": { "mustRegister": true } }, { "description": "V8 under Rs8 million but with an industrial electricity connection: not a cottage industry, must register", "given": { "amount": 100, "direction": "add", "category": "standard", "unregisteredBuyer": false, "reverseCharge": false, "annualTurnover": 1000000, "industrialConnection": true, "residentialArea": true, "overTenWorkers": false }, "expect": { "mustRegister": true } }, { "description": "V9 more than ten workers fails s.2(5AB)(c)", "given": { "amount": 100, "direction": "add", "category": "standard", "unregisteredBuyer": false, "reverseCharge": false, "annualTurnover": 1000000, "industrialConnection": false, "residentialArea": true, "overTenWorkers": true }, "expect": { "mustRegister": true } } ], "spec": { "id": "vat-pakistan", "version": "1.0.0", "schema": { "type": "object", "properties": { "amount": { "type": "number", "minimum": 0 }, "direction": { "type": "string", "enum": [ "add", "remove" ] }, "category": { "type": "string", "enum": [ "standard", "export", "fifthSchedule" ] }, "unregisteredBuyer": { "type": "boolean" }, "reverseCharge": { "type": "boolean" }, "annualTurnover": { "type": "number", "minimum": 0 }, "industrialConnection": { "type": "boolean" }, "residentialArea": { "type": "boolean" }, "overTenWorkers": { "type": "boolean" }, "rate": { "type": "number", "readOnly": true }, "effectiveRate": { "type": "number", "readOnly": true }, "netAmount": { "type": "number", "readOnly": true }, "furtherTax": { "type": "number", "readOnly": true }, "vatAmount": { "type": "number", "readOnly": true }, "selfAssessedVat": { "type": "number", "readOnly": true }, "grossAmount": { "type": "number", "readOnly": true }, "mustRegister": { "type": "boolean", "readOnly": true } } }, "constants": { "salesTaxRate": 0.18, "zeroRate": 0, "furtherTaxRate": 0.04, "cottageTurnoverLimit": 8000000 }, "library": { "layers": [ { "id": "statutory", "define": "(\n /* Shared statutory helpers — the canonical copy (docs/sandbox/d8-statutory-families.md §5.4).\n DO NOT EDIT A SPEC'S INLINED COPY. Edit this file and run `npm run sync:helpers`; a vitest\n assertion and a Java assertion both require every inlined copy to be byte-identical to this one.\n\n Why inlined rather than referenced: the `library` section's `ref` form — a library shared\n between models — is still proposed, gated on the model-references design (see\n ../../../../docs/design/library/jsonata-library.md). Inlining keeps each spec self-contained,\n which is what lets `#e=` embedding, `#share=` import and MCP forking work with no resolver.\n\n TWO TRAPS, both of which fail SILENTLY and both of which bit during the debt-payoff build:\n\n 1. A library function sees ONLY its arguments. It cannot read the consuming document — not\n through a bare field name, not through `$`, not through `$$`. Everything these helpers\n need is passed in. (`$const` is late-bound and so would resolve, but relying on it would\n couple a shared helper to one spec's constant names.)\n 2. ONE null member wrecks a whole aggregate, and the two engines disagree about how. The JS\n reference implementation THROWS (\"Argument 1 of function sum must be an array of\n numbers\"); the Java port can instead yield null for the entire aggregate. Neither gives a\n partial total, and the null-yielding form is the dangerous one because it is silent. So\n callers coerce with `$n()` below before aggregating, which makes the behaviour identical\n in both engines — measured, not assumed: see helpers.test.ts.\n\n 3. A PATH STEP DIRECTLY ON A CALL RESULT RETURNS NOTHING in the Java engine. This matters for\n every caller of $amortize, which is the one helper here returning an object:\n\n $amortize(p, r, n, 0).months -> empty in Java, 360 in JS. WRONG\n ($a := $amortize(p, r, n, 0); $a.months) -> 360 in both. RIGHT\n\n Bind the result to a variable, then step into it. The JS reference accepts both forms, so\n this is invisible until the page is served by the real engine, and it fails as a blank\n field rather than an error. Measured with a probe, not inferred — the field simply does\n not appear. */\n\n /* Number coercion with an explicit zero default. The guard against trap 2. */\n $n := function($v) { $v = null or $not($exists($v)) ? 0 : $number($v) };\n\n /* ISO date -> its year / month / day parts. String slicing rather than $fromMillis formatting:\n these are statutory dates (\"2026-04-06\"), and a timezone-sensitive round-trip through millis\n can shift the day, which silently moves a service anniversary across a band boundary. */\n $isoY := function($d) { $number($substring($d, 0, 4)) };\n $isoM := function($d) { $number($substring($d, 5, 2)) };\n $isoD := function($d) { $number($substring($d, 8, 2)) };\n\n /* Whole years of completed service between two ISO dates. Counts an anniversary as reached only\n when the month-and-day has arrived, which is what \"completed years of service\" means in every\n severance statute — not a 365.25-day division, whose drift crosses a 5-year band boundary in\n the wrong direction roughly one year in four. */\n $yearsBetween := function($from, $to) { (\n $y := $isoY($to) - $isoY($from);\n $beforeAnniversary := $isoM($to) < $isoM($from)\n or ($isoM($to) = $isoM($from) and $isoD($to) < $isoD($from));\n $beforeAnniversary ? $y - 1 : $y\n ) };\n\n /* Whole completed months between two ISO dates, same convention. */\n $monthsBetween := function($from, $to) { (\n $m := ($isoY($to) - $isoY($from)) * 12 + ($isoM($to) - $isoM($from));\n $isoD($to) < $isoD($from) ? $m - 1 : $m\n ) };\n\n /* Inclusive count of days between two ISO dates — both endpoints counted, because a leave year\n runs from its first day to its last and an employee present on both is present for both.\n Pro-rata accrual is then $proRataDays(a, b) / $proRataDays(yearStart, yearEnd). */\n $proRataDays := function($from, $to) {\n ($toMillis($to) - $toMillis($from)) / 86400000 + 1\n };\n\n /* Progressive charge across bands. `$bands` is ordered lowest-first, each {\"upTo\": n, \"rate\": r};\n the final band's `upTo` is omitted or null to mean \"no ceiling\". Each band's rate applies ONLY\n to the slice of the amount inside it — the single most common error in a hand-written bracket\n walk is applying the top rate to the whole amount. Returns 0 for a non-positive amount. */\n $bandedCharge := function($amount, $bands) { (\n $a := $n($amount);\n $a <= 0 ? 0 : $reduce($bands, function($acc, $band) { (\n $ceiling := $exists($band.upTo) and $band.upTo != null ? $band.upTo : $a;\n $top := $ceiling < $a ? $ceiling : $a;\n $slice := $top - $acc.floor;\n {\n \"floor\": $top > $acc.floor ? $top : $acc.floor,\n \"charge\": $acc.charge + ($slice > 0 ? $slice * $n($band.rate) : 0)\n }\n ) }, {\"floor\": 0, \"charge\": 0}).charge\n ) };\n\n /* Clamp into [floor, cap]. Either bound may be omitted (null) to leave that side open — a benefit\n with a cap and no floor is as common as one with both. */\n $clampFloorCap := function($value, $floor, $cap) { (\n $v := $n($value);\n $withFloor := $exists($floor) and $floor != null and $v < $floor ? $floor : $v;\n $exists($cap) and $cap != null and $withFloor > $cap ? $cap : $withFloor\n ) };\n\n /* Level annuity payment for a principal over `$months` at `$annualRatePct` nominal, compounded\n monthly. Falls back to straight-line division at a zero rate, where the standard formula\n divides by zero. */\n $annuityPayment := function($principal, $annualRatePct, $months) { (\n $p := $n($principal);\n $m := $n($months);\n $i := $n($annualRatePct) / 1200;\n $m <= 0 ? 0 : ($i = 0 ? $p / $m : $p * $i * $power(1 + $i, $m) / ($power(1 + $i, $m) - 1))\n ) };\n\n /* Amortisation schedule: one row per month until the balance clears or `$months` is reached.\n Returns {\"payment\", \"months\", \"totalInterest\", \"schedule\": [{month, interest, principal,\n balance}]}. `$extra` is an optional monthly overpayment.\n\n A real month-by-month fold rather than a closed form, because an overpayment changes every\n later row — the same reason debt-payoff simulates. Bounded by `$months`, so it always\n terminates. */\n $amortize := function($principal, $annualRatePct, $months, $extra) { (\n $i := $n($annualRatePct) / 1200;\n $pay := $annuityPayment($principal, $annualRatePct, $months) + $n($extra);\n $r := $reduce([1..$n($months)], function($acc, $month) {\n $acc.balance <= 0 ? $acc : (\n /* The running balance is kept UNROUNDED and only the emitted row is rounded. Rounding the\n balance each month instead accumulates drift: at 200,000 over 360 months it left 2.83\n still owing in the final row, which would break the \"final balance is zero\" invariant\n (§7.3) and look to a reader like the schedule does not pay the loan off. Lenders compute\n on the exact balance and adjust the last payment, which is what this does. */\n $interest := $acc.balance * $i;\n $due := $acc.balance + $interest < $pay ? $acc.balance + $interest : $pay;\n $principalPart := $due - $interest;\n $balance := $acc.balance - $principalPart;\n {\n \"balance\": $balance,\n \"totalInterest\": $acc.totalInterest + $interest,\n \"schedule\": $append($acc.schedule, [{\n \"month\": $month,\n \"interest\": $round($interest, 2),\n \"principal\": $round($principalPart, 2),\n \"balance\": $round($balance, 2)\n }])\n }\n )\n }, {\"balance\": $n($principal), \"totalInterest\": 0, \"schedule\": []});\n {\n \"payment\": $round($pay, 2),\n \"months\": $count($r.schedule),\n \"totalInterest\": $round($r.totalInterest, 2),\n \"schedule\": [$r.schedule]\n }\n ) };\n\n [\"n\", \"isoY\", \"isoM\", \"isoD\", \"yearsBetween\", \"monthsBetween\", \"proRataDays\",\n \"bandedCharge\", \"clampFloorCap\", \"annuityPayment\", \"amortize\"]\n)\n" } ] }, "defaultValues": [ { "path": "$", "expr": "{ 'amount': 100000, 'direction': 'add', 'category': 'standard', 'unregisteredBuyer': false, 'reverseCharge': false, 'annualTurnover': 0, 'industrialConnection': false, 'residentialArea': true, 'overTenWorkers': false }" } ], "derivations": [ { "path": "$.rate", "expr": "(category = 'standard' ? $const.salesTaxRate : $const.zeroRate) + ((unregisteredBuyer and category != 'export') ? $const.furtherTaxRate : 0)" }, { "path": "$.effectiveRate", "expr": "reverseCharge ? 0 : $round(rate, 4)" }, { "path": "$.netAmount", "expr": "direction = 'remove' ? $round(amount / (1 + effectiveRate), 2) : $round(amount, 2)" }, { "path": "$.furtherTax", "expr": "(unregisteredBuyer and category != 'export' and $not(reverseCharge)) ? $round(netAmount * $const.furtherTaxRate, 2) : 0" }, { "path": "$.vatAmount", "expr": "$round(netAmount * effectiveRate, 2)" }, { "path": "$.selfAssessedVat", "expr": "reverseCharge ? $round(netAmount * (category = 'standard' ? $const.salesTaxRate : $const.zeroRate), 2) : 0" }, { "path": "$.grossAmount", "expr": "$round(netAmount + vatAmount, 2)" }, { "path": "$.mustRegister", "expr": "$n(annualTurnover) > $const.cottageTurnoverLimit or industrialConnection or $not(residentialArea) or overTenWorkers" } ], "constraints": [], "viewDefinition": { "renderer": "builtin", "defaultView": "main", "views": [ { "id": "main", "label": "Sales tax", "layout": "vertical", "components": [ { "id": "amount", "type": "numericField", "label": "Amount (PKR)", "bind": "$.amount" }, { "id": "direction", "type": "selectField", "label": "This amount is", "bind": "$.direction", "options": [ { "value": "add", "label": "Value excluding tax — add sales tax" }, { "value": "remove", "label": "Price including tax — take it out" } ] }, { "id": "category", "type": "selectField", "label": "What is being supplied", "bind": "$.category", "options": [ { "value": "standard", "label": "Taxable goods — 18%" }, { "value": "export", "label": "0% — goods exported" }, { "value": "fifthSchedule", "label": "0% — Fifth Schedule goods sold in Pakistan" } ] }, { "id": "unregistered", "type": "checkboxField", "label": "Buyer is not registered or not on the active taxpayers’ list (4% further tax)", "bind": "$.unregisteredBuyer" }, { "id": "reverse", "type": "checkboxField", "label": "Goods notified under s.3(3A) — the buyer pays the tax", "bind": "$.reverseCharge" }, { "id": "turnover", "type": "numericField", "label": "Annual turnover of a manufacturer (PKR)", "bind": "$.annualTurnover", "helperText": "A cottage industry meets all four tests of s.2(5AB); failing any one, a manufacturer must register." }, { "id": "cottage", "type": "fieldSet", "label": "Cottage-industry tests", "components": [ { "id": "connection", "type": "checkboxField", "label": "Has an industrial gas or electricity connection", "bind": "$.industrialConnection" }, { "id": "residential", "type": "checkboxField", "label": "Located in a residential area", "bind": "$.residentialArea" }, { "id": "workers", "type": "checkboxField", "label": "Labour force of more than ten workers", "bind": "$.overTenWorkers" } ] }, { "id": "tiles", "type": "group", "layout": "horizontal", "components": [ { "id": "vatTile", "type": "statTile", "label": "Sales tax charged", "bind": "$.vatAmount", "format": "currency", "currency": "PKR" }, { "id": "grossTile", "type": "statTile", "label": "Gross", "bind": "$.grossAmount", "format": "currency", "currency": "PKR" } ] }, { "id": "breakdown", "type": "keyValueList", "label": "Breakdown", "items": [ { "label": "Value (excluding tax)", "bind": "$.netAmount", "format": "currency", "currency": "PKR" }, { "label": "of which further tax 4%", "bind": "$.furtherTax", "format": "currency", "currency": "PKR" }, { "label": "Sales tax charged by the seller", "bind": "$.vatAmount", "format": "currency", "currency": "PKR" }, { "label": "Sales tax paid by the buyer (s.3(3A))", "bind": "$.selfAssessedVat", "format": "currency", "currency": "PKR" }, { "label": "Gross", "bind": "$.grossAmount", "format": "currency", "currency": "PKR" }, { "label": "Manufacturer must register", "bind": "$.mustRegister" } ] }, { "id": "note", "type": "staticText", "text": "Federal sales tax on goods, Sales Tax Act 1990 as amended to 30 June 2026: 18% of value; 4% more on a supply to an unregistered or inactive buyer unless SRO 648(I)/2013 excludes the supply (s.4 keeps it on Fifth Schedule goods; an export goes to a buyer abroad, so none is shown). Services are taxed by the provinces and are not covered, nor are the reduced rates of the Eighth Schedule, retail-price goods of the Third Schedule, exempt goods or withholding. Importers, exporters claiming refunds, wholesalers, dealers, distributors and retailers liable to sales tax must register whatever their turnover (s.14). Estimate, not tax advice." }, { "id": "sources", "type": "sourceList", "label": "Sources", "layers": 2, "items": [ { "label": "Sales Tax Act 1990 (FBR, amended to 30 June 2026) ss.3(1), 3(1A), 4", "url": "https://download1.fbr.gov.pk/Docs/20267171373418951SalesTaxAct1990updatedupto30.06.2026.pdf", "date": "2026-11-01", "covers": [ "salesTaxRate", "zeroRate", "furtherTaxRate" ] }, { "label": "Sales Tax Act 1990 ss.2(5AB), 14: cottage industry Rs8 million, registration", "url": "https://download1.fbr.gov.pk/Docs/20267171373418951SalesTaxAct1990updatedupto30.06.2026.pdf", "date": "2026-11-01", "covers": [ "cottageTurnoverLimit" ] }, { "label": "Sales Tax Act 1990 s.3(1A): further-tax exclusions by SRO 648(I)/2013 as amended", "url": "https://download1.fbr.gov.pk/Docs/20267171373418951SalesTaxAct1990updatedupto30.06.2026.pdf", "date": "2026-11-01", "covers": [] } ] } ] } ] }, "tests": [ { "description": "V1 Rs100,000 of taxable goods: 18% = Rs18,000", "given": { "$.amount": 100000, "$.direction": "add", "$.category": "standard", "$.unregisteredBuyer": false, "$.reverseCharge": false, "$.annualTurnover": 0, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.vatAmount": 18000, "$.grossAmount": 118000, "$.effectiveRate": 0.18 } }, { "description": "V2 Rs118,000 including tax back to Rs100,000", "given": { "$.amount": 118000, "$.direction": "remove", "$.category": "standard", "$.unregisteredBuyer": false, "$.reverseCharge": false, "$.annualTurnover": 0, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.netAmount": 100000, "$.vatAmount": 18000 } }, { "description": "V3 to an unregistered buyer: 18% + 4% further tax = Rs22,000", "given": { "$.amount": 100000, "$.direction": "add", "$.category": "standard", "$.unregisteredBuyer": true, "$.reverseCharge": false, "$.annualTurnover": 0, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.rate": 0.22, "$.furtherTax": 4000, "$.vatAmount": 22000, "$.grossAmount": 122000 } }, { "description": "V4 an export is zero-rated", "given": { "$.amount": 100000, "$.direction": "add", "$.category": "export", "$.unregisteredBuyer": false, "$.reverseCharge": false, "$.annualTurnover": 0, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.vatAmount": 0, "$.grossAmount": 100000 } }, { "description": "V4b an export to an unregistered buyer abroad: no further tax", "given": { "$.amount": 100000, "$.direction": "add", "$.category": "export", "$.unregisteredBuyer": true, "$.reverseCharge": false, "$.annualTurnover": 0, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.furtherTax": 0, "$.vatAmount": 0 } }, { "description": "V4c Fifth Schedule goods to an unregistered buyer: s.4 keeps the 4% further tax", "given": { "$.amount": 100000, "$.direction": "add", "$.category": "fifthSchedule", "$.unregisteredBuyer": true, "$.reverseCharge": false, "$.annualTurnover": 0, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.rate": 0.04, "$.furtherTax": 4000, "$.vatAmount": 4000 } }, { "description": "V5 goods notified under s.3(3A): the seller charges none, the buyer pays Rs18,000", "given": { "$.amount": 100000, "$.direction": "add", "$.category": "standard", "$.unregisteredBuyer": false, "$.reverseCharge": true, "$.annualTurnover": 0, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.vatAmount": 0, "$.grossAmount": 100000, "$.selfAssessedVat": 18000 } }, { "description": "V6 Rs8 million of turnover is still a cottage industry (“does not exceed”)", "given": { "$.amount": 100, "$.direction": "add", "$.category": "standard", "$.unregisteredBuyer": false, "$.reverseCharge": false, "$.annualTurnover": 8000000, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.mustRegister": false } }, { "description": "V7 above Rs8 million a manufacturer must register", "given": { "$.amount": 100, "$.direction": "add", "$.category": "standard", "$.unregisteredBuyer": false, "$.reverseCharge": false, "$.annualTurnover": 8000001, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.mustRegister": true } }, { "description": "V8 under Rs8 million but with an industrial electricity connection: not a cottage industry, must register", "given": { "$.amount": 100, "$.direction": "add", "$.category": "standard", "$.unregisteredBuyer": false, "$.reverseCharge": false, "$.annualTurnover": 1000000, "$.industrialConnection": true, "$.residentialArea": true, "$.overTenWorkers": false }, "expect": { "$.mustRegister": true } }, { "description": "V9 more than ten workers fails s.2(5AB)(c)", "given": { "$.amount": 100, "$.direction": "add", "$.category": "standard", "$.unregisteredBuyer": false, "$.reverseCharge": false, "$.annualTurnover": 1000000, "$.industrialConnection": false, "$.residentialArea": true, "$.overTenWorkers": true }, "expect": { "$.mustRegister": true } } ] } }