8. Treatment of stock brought forward during transition
For the purposes of sub-section (2) of section 14, the amount of tax borne shall be
(a) where the dealer holds an invoice issued by a dealer registered under the Delhi Sales Tax Act, 1975 (43 of 1975) in respect of the opening stock which separately states the amount of tax paid under the Delhi Sales Tax Act, 1975 (43 of 1975) at the point specified under section 5 of the said Act, the amount of such tax as is allocable to the opening stock; or
(b) in any other case, an amount calculated according to the formula-
F x P x 75%
where
F = the tax fraction, (r/r+100) [where r is the rate of tax under the Delhi Sales Tax Act, 1975 (43 of 1975) applicable as on March 31, 2005 to the opening stock].
P = the price paid for the opening stock. |