cst - tax calculation

Ram Prakash Gautam (Manager Accounts & Taxation) (1006 Points)

29 April 2010

dear friends ,

i want to know , how ll i calculate sale tax for sale tax return .

as per my knowledge this formula is effective

amount x 2% / 102

plz advice me

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5 Replies

CA Dhiraj Ramchandani (CA, M. com) (10823 Points)
Replied 29 April 2010

Yes this is correct...

But u can also take proportion to TOTAL CST SALES V/s CST SALES RETURN.... Multiply the amount with total CST...

CST x cst sales return/cst sales

CA Sanjay Jha (ACCOUNTS MANAGER) (914 Points)
Replied 29 April 2010

2 ways to calculate sale tax

First when u have to calculate sale tax from net of amount u want to sale i. e. amount (NET)*2/100

Second when u have to calculate sale tax from sales inclusive of sales tax i. e. sales value(gross)*2/102

vikash rathi (Chartered Accountant) (787 Points)
Replied 30 April 2010

your formula is totally correct........(in case saletax amount is composite in sale value...)

Poornima Srinivasan (Junior trainee) (330 Points)
Replied 30 April 2010

Originally posted by : CA Sanjay Jha
	2 ways to calculate sale tax First when u have to calculate sale tax from net of amount u want to sale i. e. amount (NET)2/100 Second when u have to calculate sale tax from sales inclusive of sales tax i. e. sales value(gross)2/102