Credit of CST with VAT, VAT + CST

[Tanusanker dey]

can central sales tax be credited with vat? when we do CST purchase and sale locally what will be the tax rate at VAT rate or with both CST included and VAT rate? suppose if i buy goods worth Rs. 100 with CST of 3% at what price would I sell the commodity? ellaborately mention the answer.

Posts / Replies

[Ravi Chopra]

I do not think that state governments are allowing CST paid in different state to be adjusted with VAT liability of that state. To overcome this type of problems and issues, the concept of GST is there and the rate of CST is being reduced in the meantime.