LNP Traders (Others) (37 Points)
09 July 2015Hello,
Our firm is registered in Karnataka.
Assuming, I buy stock worth Rs. 10,00,000 [inclusive of CST] from Uttar Pradesh.
When I sell it;
Scenario 1 - Inside Karnataka
Should I pay the full 5.5% VAT ?
Scenario 2 - Outside Karnataka
Should I pay the difference in CST (output CST - input CST) ?
Kindly advise
Thanks.
Nagaraj Rao
(Commercial)
(22 Points)
Replied 09 July 2015
Dear All,
We are despatching Goods From Karnataka in a single Invoice but three vehicles to Meddak Dist, Telangana.
Please inform that in a single Vehicle three Vehicle can be cross check post.
NRao
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 09 July 2015
Scn1: Charge full VAT at local rates applicable
Scn2: Input CST cannot be set off against output CST. Either charge CST at local VAT rate or @ 2% against form C and pay the full output CST (on sales) without adjusting input CST. However, if u have any input vat credit (from local purchases) such input credit can be offset against output CST.
vishnu bhardwaj
(Tax Advocate)
(212 Points)
Replied 09 July 2015
input of cst is not deduct from vat output tax but output cst is deduct from vat input
Laukesh
(RCM)
(54 Points)
Replied 10 July 2015
CAclubindia
