in NBT by (240 points)
Lot of customers argue on the formula that we use (100/98) x 2%for NBT in Invoices . Can any one explain with relevant section of the Act.?
related to an answer for: NBT is charging in different ways ?

2 Answers

0 votes
by (3.8k points)
Refer the interpretations provided by IRD following this link.  http://www.ird.gov.lk/en/publications/Interpretations%20%20Rulings_Documents/interpretations__rulings_book_-_set_i.pdf

 

The point " 51 Liable Turnover For NBT Purposes" Explains this
+1 vote
by
It is not mentioned in the Act. You may either collect NBT fully with the cascading effect (2/98) or without cascading effect (just 2/100) or just not charge from customer at all. If you charge from customers, customer can either pay it or just find some other supplier who does not charge NBT from the customers. It will all depend on the bargaining power of the buyer & seller.
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