CENTRAL SALES TAX

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This query is : Resolved

UMASHANKAR M S (Querist)

27 November 2008 Dear Members

Dealer enter into CST sales in two months before. But the same bill is returned for quality variation. But dealer paid CST tax in local sales tax office. How to claim the CST tax amount? Its adjusted or Refunded?

Reetika Goel

Reetika Goel (Expert)

27 November 2008 If u have entered into any central sale, then you are required to get yourself registered under CST Act within 30 days from the date of transaction.

Since you had collected CST from the purchaser, you are required to deposit the same with department under CST Act.

Mistake you have commited can't be rectified nor adjusted with local sales tax.
The reason being, LST excess/short can be adjusted with CST but the reverse is not allowed.

UMASHANKAR M S

UMASHANKAR M S (Querist)

27 November 2008 how can receive the paid tax? any idea

CA Nitin Wadhwani

CA Nitin Wadhwani (Expert)

27 November 2008 Adjust it in next period liability

UMASHANKAR M S

UMASHANKAR M S (Querist)

27 November 2008 next liability exceeds six months what my possition

N J Ansari

N J Ansari (Expert)

26 January 2009 What I understand, you are registered as
dealer under state as well as Central Sales
Tax.

The provision for allowability of Goods
return is six months. The return is
wihin the permissible limit.

You are entitled to adjust the
refund of CST due to return og
goods in next CST or Local VAT payment.

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