(1) Subject to sub rule 2 of this rule the tax payable on a taxable turnover is calculated by applying the rate of VAT specified in the Act on the "Sale Price(s)" of the transaction.

(2) Where the "Sale Price(s)" is inclusive of tax and the VAT payable shall be calculated by the Formula

where R is the rate of tax.

(3) The tax payable by a VAT dealer for a tax period shall be calculated by the Formula, X-Y where 'X' is a total of the VAT payable in respect of all taxable sales made by the VAT dealer during the tax period, and 'Y' is the total input tax.

(4) Notwithstanding anything contained in the Rules, no registered VAT dealer shall sell his goods below his purchase or cost price as the case may be.

(5) Notwithstanding any thing contained in the Rules, the rate of tax payable for the transactions falling under sub-clause (d) of Clause (xlvii) of Section 2 of the Act; shall be at the same rate, for which the respective goods are specified in schedule II .