when a particular business is having local purchases and only CST sale than whether setoff of the vat paid is available against the CST payment. if available than whether part or full or in any percentage form.
APOORV SAXENA
(Chartered Accountant)
(794 Points)
Replied 01 March 2011
It will not be set off.
The input of CST cannot be set off with VAT Output !!
DAYANANDA K N
(ACCOUNTS EXCECUTIVE)
(575 Points)
Replied 01 March 2011
VAT credit on purchases can be used for discharging CST liabilty.
But there is no CST credit on purhcases.
You can fully setoff VAT credit on purchases for discharging CST liability.
I think question is wrongly read by apporva and Radhekrishna
Regards
Dayananda
ANKUSH
(Article Trainee)
(322 Points)
Replied 01 March 2011
Tax paid on local purchase can be fully adjusted towards your CST liability.
But there is a requirement of TAX INVOICE.
APOORV SAXENA
(Chartered Accountant)
(794 Points)
Replied 01 March 2011
| Originally posted by : DAYANANDA K N | ||
 |
VAT credit on purchases can be used for discharging CST liabilty. But there is no CST credit on purhcases. You can fully setoff VAT credit on purchases for discharging CST liability. I think question is wrongly read by apporva and Radhekrishna Regards Dayananda |
 |
agreed....so sorry !!
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 01 March 2011
| Originally posted by : pramod | ||
|
|
when a particular business is having local purchases and only CST sale than whether setoff of the vat paid is available against the CST payment. if available than whether part or full or in any percentage form. |
|
CST liability can be paid through VAT credit accumulated on local purchase,
Pothuganty sudheer
(Consultant, C.A, C.S)
(411 Points)
Replied 02 March 2011
Fact file of the case :
Business unit is having local purchases as well as CST sale.
Issue of the case :
Whether VAT paid on local purchases can be set off against the CST payment on CST sale.
If available whether part or full or in any percentage form.
Analysis of the case :
VAT paid on local purchases is refundable tax and VAT Rules allow set off against the liability of Sales tas
payment to be made against CST sale.
VAT credit is available in full.
Conclusion:
To sum up VAT paid on local purchases can be set off against sales tax liability against a CST sale
VAT credit is available in full.
Expert opinion is welcome
G.Ramesh
(Accounts Professional)
(1089 Points)
Replied 02 March 2011
Can any one pls. send me the document evidence for the above to rameshnfl @ gmail.com
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