5% CST

2496 views 8 replies

Dear All,

Let me know that I can take Setoff of 5% CST Purchase against Local Sales.

Regards

Replies (8)

no one cannot claim credit of inter state purchase as per VAT rules,ya u cn claim cerdit of intra state purchase against you CST liability bt not vice versa

so u cannot claim credit of outside purchases

REGARDS

SRIPAL JAIN

I agree with CA Sripal Jain

Originally posted by : ashish gupta

I agree with CA Sripal Jain

Originally posted by : SANYAM ARORA




Originally posted by : ashish gupta






I agree with CA Sripal Jain





 

AGREE WITH CA SRIPAL JAIN 

 

Not possible to set-off CST paid against VAT payable. Why?

CST is not VATable. in other words, CST paid on purchases are not allowed to be set off against the VAT credit on sales. This is so because CST paid on purchases is retained by the State (say, Haryana) from where goods are purchased. So when the other State (Delhi) which is charging VAT on sale will be at loss of revenue (i.e. tax revenue) if it allows the set off of CST paid on purchases (to Haryana).

Therefore, only local purchases (i.e. intra-State purchases) are allowed to take credit for the purposes of VAT payable.

Just sharing some details in brief.

yes, I agree with both of them, Actually the CST in the subject of Central Government and VAT is the subject of respective state Government and govern accordingly with the Union list and State list of the Constitution,

Thanx,

sandeep gupta

 

Input can be claim only against vat purchase (On Basis of Tax Invoice). 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
12 June 2026
Accounts & Taxation Executive

Winshine Financial Services

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 08 June 2026
Internal & Taxation Article

O P Bagla & Co LLP

New Delhi

CA Inter

View Details
Company
04 June 2026
Semi Qualified CA

Goyal Puneet & Associates

New Delhi

CA Final

View Details
Company
19 June 2026
Accounts Executive

Getfive Advisors Pvt. Ltd.

Ahmedabad

CA Inter

View Details
Company
ARTICLESHIP 29 June 2026
Article Assistant

Alvino Consultancy LLP

Mumbai

CA Inter

View Details
Company
22 June 2026
Finance Manager- Chartered Accountant

Triveni Turbine Limited

Bengaluru

CA

View Details
Company
25 June 2026
AUDIT MANAGER

JDAS & ASSOCIATES

New Delhi

CA

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details