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VAt v/s CST

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27 May 2008 Hi All

I am little bit confuse about the Vat and CST like when Vat is applicable and when Vat is applicable.

For Example I have purchased a goods from Out Side of Noida like Gujrat My vender Charge me a tax for 5% and he said that this is the CST or Vat, If I am not providing him C form For Central purchase else the rate is 3%.

Kindly clear my doubts

Reg
Mint

27 May 2008 Hi Mint.

You are not clear with the subject.

The CST rate is 2% for registered dealers which which you have to provide C Form.

VAT is invoked when the movement of the goods take place within the state.

At the instant case cited by you, vendor from the Gujarat state shall raise a tax invoice with CST @2% if you are registered dealer for CST or a higher rate if you are unregistered dealer.

Rgds/
Vineet

27 May 2008 Hi Vinit

Thanks for your valuable suggestion One more thing do you have any idea that what is the higher rate if i am not providing "C" form to my vender.


27 May 2008 Qauntum of CST Payable:-

Against form C : Local VAT rate, subject to maximum of 3%.

Without form C :Local VAT Rate



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