The amount received by the seller as a percentage of the gross sale price of goods or services.
Input VAT
The amount paid by buyer as a percentage of gross of purchase price for goods or services used in production.
Zero Rated
The transactions in which the sellers collect no output tax and the corresponding input tax is fully refundable, the exports are zero rated.
For example exports, healthcare, education, international transport of passengers and goods, the first sale of residential property, medicine, and medical equipment, investment in gold, silver and platinum etc.
Exempt
The transactions in which the sellers collect no output tax and the corresponding input tax is non-refundable and absorbed by the seller for eg. Financial services are commonly exempted.
For example: bare land, local transport, the sale of residential property (second sale onwards) and lease of the residential property.
Taxable supply
Any transaction on which VAT is charged at zero or standard rate
Supply
Anything done for consideration
Supply of Goods
Transfer of ownership of tangibles, finance leases, real estate
Supply of services
Anything that is not goods, includes refraining from doing something
Taxable person
It is a person who is or should be registered for VAT.
Business (economic activity)
It is an activity being practiced continuously and regularly, including commercial, industrial, agricultural, professional, service activities, or any usage of material and non-material property and any similar activity.