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INPUT TAX11) Meaning of Input tax10) Cash flow impact of input tax credit to businesses9) Carry Forward / Offsetting / Repayment of Input Tax Credit2) Entitlement of input tax3) Blocked input TAX 4)
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Input tax is the amount of tax that a business pays on its purchases of goods and services that can be used as credit against the taxes it collects from its own sales.
Businesses that are registered for value-added tax (VAT) are required to file input tax.
To fill out input tax, businesses must keep track of the VAT paid on their purchases and include this information in their VAT return.
The purpose of input tax is to prevent double taxation and allow businesses to recover the VAT they have paid on their inputs.
Businesses must report the amount of VAT paid on their purchases, the supplier's name, invoice number, and the date of the purchase on their input tax.
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