Vishwanath Kumbar (Senior Account Executive) (56 Points)
21 July 2011Dear CA Club Members,
What is Difference between VAT and CST and Why
Supose I raising invoice out of State like Gujrat Charge Full VAT @ 12.5% it is Call VAT or CST...................?????
Regards,
Vishwanath Kumbar
Ashish Jain
(.Net Developer)
(641 Points)
Replied 21 July 2011
CST = Central Sales Tax
If customer issues the C-Form then 2% CST is applicable
otherwise full tax is applicable. that means it saves tax.
After delivery of material we have to collect the C-Form
from the party otherwise it is a liability during sales tax
assessment.
CA Vibhash Kumar Sah
(Associate Manager)
(710 Points)
Replied 23 July 2011
| Originally posted by : Vishwanath Kumbar | ||
 |
Dear CA Club Members, What is Difference between VAT and CST and Why Supose I raising invoice out of State like Gujrat Charge Full VAT @ 12.5% it is Call VAT or CST...................????? Regards, Vishwanath Kumbar |
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Movement of Goods from one state to another state is covered under CST even if u are chargin full rate of tax (i.e, 12.5% as mentioned by you and this may vary state to state).
CAclubindia
