Vat credit set off against cst liability

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Anvesh Desai (Querist)
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18 August 2013 Hi all,

Can VAT input credit availed on input/capital goods under Tamilnadu VAT act be set off against CST liability??

If yes, can you tell me which provision should I refer??

Thanks

MJ Krishnamurthy

MJ Krishnamurthy (Expert)
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18 August 2013 Any input tax of local purchases,whether capital goods or other can be adjusted against CST payable amount. This is common in all VAT laws. ....mjk

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RENGARAJ R.K

RENGARAJ R.K (Expert)
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19 August 2013 Dear all, As per Section 19(2)v of TNVAT Act, eligible Input tax credit shall be allowed for CST payable.

That is, it can be adjusted against sale in the course of interstate trade falling under sub-section (1) of section (8) of the CST Act, 1956.

regards,

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Anvesh Desai

Anvesh Desai (Querist)
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20 August 2013 I sincerely thank both of you.

Regards

Anvesh

Anvesh Desai

Anvesh Desai (Querist)
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21 August 2013 Dear R K Rengaraj,

I refered the said provision. I think it is about the availment of input VAT credit and not its utilization against CST payment.

RENGARAJ R.K

RENGARAJ R.K (Expert)
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21 August 2013
@ CA Anvesh Desai,

It goes without saying that once the input is eligible, the same can be utilised against the CST due also.

We have been utilising the same for CST payment also we do not face any problem, as i am from Tamilnadu,. Only condition is, the sale should be supported by C form.

Regards,