A mechanism by which the adjustment of the recovered input tax on the capital assets occurs, it is referred to as the capital assets scheme. The adjustment is basically carried out in a time period of almost 10 or 5 years.
It will solely depend upon the usage whether you would be able to recover the input VAT or not in the first year.
It is to be noted here that if there come any changes in the input tax, the need of the adjustment will arise and if there are any sort of changes in the taxable supplies or another sort of supplies, you might need to pay additional VAT to the authorities.
Not that the authority regarding the VAT is FTA.
There may arise so many scenarios in this case. Sometimes what happens is that the VAT is recovered by the person as they show that they … Read the restRead more