Value Added Tax in India :: VAT in India, India VAT, VAT Expert India

Origin Principle : Value Added Tax (VAT) India

VAT is said to use the origin principle when the tax is levied on “domestically added value” to all goods including goods which are subsequently exported. It taxes all the values which originate in the country. It does not tax value that has been added abroad and is built in goods which are imported and sold domestically. This principle results in exempting the Imports and taxing the Exports.