VAT/CST rate on software license, VAT + CST

[Reshma kochar]

Dear Experts,

Do let me know the current HVAT/CST rate as applicable, in case a software company is providing its own softwares to its clients. 

Regards,

Reshma

Posts / Replies

[Pradeep Khatri]

The rate of VAT on software licences under HVAT Act will be 5% along will surcharge of 5% as it duly falls under intangible goods in Schedule C.

[Reshma kochar]

That means effective rate will be 5.25%. Sir if the sale is inter state sales, should attract the CST than. what will be CST rate?

Regards

Reshma

[Pradeep Khatri]

CST rates are governed by the VAT rates.

[Sujeet Rai]

Hi If u purchase a third party software in Delhi ( a renewal license for a hardware appliance) and bill it to a customer at Gurgaon what all taxes will be levied? will it attract service tax as well as CST ?

Regards

Sujeet

[chetan rachhadiya]

dear reshma, please see the below link this might be useful to solve your query:

https://www.linkedin.com/groups/Sir-We-have-purchased-ERP-2729192%2ES%2E5950940929895518212?trk=groups_search_item_list-0-b-ttlandgoback=%2Egna_2729192