Page 11 - F6 Slide - VAT Part 5 - Lecture Day 5
P. 11
Adjustments (s 18) Lower of MV on date of
change/MV on date of
previous adjustment
≤ 100% taxable
supplies % lower taxable supplies
Account for Output tax
lower of Cost/MV x 14/114 x % Decrease
change in taxable supplies
≤ 100% taxable % higher taxable supplies
supplies
Claim input tax
lower of Cost/MV x 14/114 x Increase
% change in taxable supplies
No adjustment if:
• Adjustment of capital goods/services < R40 000 (excl. VAT)
• Change ≤ 10%
• Input was denied (e.g. motor car)
