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Teacherbot 27 Dec, 11:12:43

To complete the VAT Return (ERCA form 3001) for the month of Tahsas, we need to calculate the VAT payable and the VAT credit for DMX plc.

  1. Sales: - Coffee export: Br 2,000,000 (VAT exempt) - Drug sales: Br 500,000 (VAT applicable) - Leather product sales: Br 1,200,000 (VAT applicable)

  2. Purchases: - Coffee purchased from VAT registered traders: Br 700,000 (VAT applicable) - Coffee purchased from non-registered traders: Br 300,000 (VAT exempt) - Raw materials for drug manufacturing purchased from VAT registered traders: Br 100,000 (VAT applicable) - Raw materials for drug manufacturing imported: Br 250,000 (VAT applicable) - Raw materials for leather products purchased from VAT registered tannery: Br 150,000 (VAT applicable)

  3. Expenses: - Repair and Maintenance Expense: Br 30,000 (VAT applicable) - Telephone Expense: Br 1,200 (VAT applicable) - Stationery Materials: Br 20,000 (VAT exempt)

Now, let’s calculate the VAT payable and the VAT credit:

VAT Payable: - VAT on coffee purchases from VAT registered traders: 15% of Br 700,000 = Br 105,000 - VAT on raw materials for drug manufacturing purchased from VAT registered traders: 15% of Br 100,000 = Br 15,000 - VAT on raw materials for drug manufacturing imported: 15% of Br 250,000 = Br 37,500 - VAT on raw materials for leather products purchased from VAT registered tannery: 15% of Br 150,000 = Br 22,500 - VAT on repair and maintenance expense: 15% of Br 30,000 = Br 4,500 - VAT on telephone expense: 15% of Br 1,200 = Br 180

Total VAT Payable: Br 105,000 + Br 15,000 + Br 37,500 + Br 22,500 + Br 4,500 + Br 180 = Br 184,680

VAT Credit: - VAT on coffee purchases from VAT registered traders: 15% of Br 700,000 = Br 105,000 - VAT on raw materials for drug manufacturing purchased from VAT registered traders: 15% of Br 100,000 = Br 15,000 - VAT on raw materials for drug manufacturing imported: 15% of Br 250,000 = Br 37,500 - VAT on raw materials for leather products purchased from VAT registered tannery: 15% of Br 150,000 = Br 22,500 - VAT on repair and maintenance expense: 15% of Br 30,000 = Br 4,500 - VAT on telephone expense: 15% of Br 1,200 = Br 180

Total VAT Credit: Br 105,000 + Br 15,000 + Br 37,500 + Br 22,500 + Br 4,500 + Br 180 = Br 184,680

VAT Payable (Total VAT Payable - Total VAT Credit): Br 184,680 - Br 184,680 = Br 0

Therefore, the VAT payable for DMX plc for the month of Tahsas is Br 0.

You 27 Dec, 11:16:52

Make this simpler to understand

Teacherbot 27 Dec, 11:16:52

To complete the VAT Return for DMX plc for the month of Tahsas, we need to calculate the VAT payable and the VAT credit.

Sales: - Coffee export: Br 2,000,000 (VAT exempt) - Drug sales: Br 500,000 (VAT applicable) - Leather product sales: Br 1,200,000 (VAT applicable)

Purchases: - Coffee purchased from VAT registered traders: Br 700,000 (VAT applicable) - Coffee purchased from non-registered traders: Br 300,000 (VAT exempt) - Raw materials for drug manufacturing purchased from VAT registered traders: Br 100,000 (VAT applicable) - Raw materials for drug manufacturing imported: Br 250,000 (VAT applicable) - Raw materials for leather products purchased from VAT registered tannery: Br 150,000 (VAT applicable)

Expenses: - Repair and Maintenance Expense: Br 30,000 (VAT applicable) - Telephone Expense: Br 1,200 (VAT applicable) - Stationery Materials: Br 20,000 (VAT exempt)

Now, let’s calculate the VAT payable and the VAT credit:

VAT Payable: - VAT on coffee purchases from VAT registered traders: Br 105,000 - VAT on raw materials for drug manufacturing purchased from VAT registered traders: Br 15,000 - VAT on raw materials for drug manufacturing imported: Br 37,500 - VAT on raw materials for leather products purchased from VAT registered tannery: Br 22,500 - VAT on repair and maintenance expense: Br 4,500 - VAT on telephone expense: Br 180

Total VAT Payable: Br 184,680

VAT Credit: - VAT on coffee purchases from VAT registered traders: Br 105,000 - VAT on raw materials for drug manufacturing purchased from VAT registered traders: Br 15,000 - VAT on raw materials for drug manufacturing imported: Br 37,500 - VAT on raw materials for leather products purchased from VAT registered tannery: Br 22,500 - VAT on repair and maintenance expense: Br 4,500 - VAT on telephone expense: Br 180

Total VAT Credit: Br 184,680

VAT Payable (Total VAT Payable - Total VAT Credit): Br 0

Therefore, the VAT payable for DMX plc for the month of Tahsas is Br 0.