Adjustment of input tax credit with cst

Input tax credit first set off with within state sales tax , after remain balance can be setoff with cst ( out of state sales tax).

WE CAN ADJUST CST SALES WITHOUT C-FORM WITH INPUT TAX CREDIT? IF YES PLS ILLUSTRATE WITH AN EXAMPLE AND FORMULA FOR THE SAME

Yes. ITC can be adjusted with cut.

State pur (12.5%) 1 lac vat 12500 Out state pur (2%) 1 lac cst 2000 State sale (12.5%) 0.5 lac vat 6250 Outside state sale (2%) 1 lac cst 2000 Setoff = 12500-6250-2000=4250 RS 4250 will be carry forward and c form for 102000 should issued to supplier and c form of 102000 to be taken from customer

Local vat rate is 10% Cst is 2% Local purchase is rs. 1,00,000/- Local sales is rs. 80,000/- Inter state sale rs. 20,000/- with c form Inter state sale rs. 30,000/- without c form. Input vat credit is rs. 10,000/- Out put vat rs. 8,000/- Cst on sale with c form rs. 400/- Cst on sale without c form rs. 3,000/- Finally after adjustment liability in the hands of trader is rs. 1,400/-

Local vat rate is 10% Cst is 2% Local purchase is rs. 1,00,000/- Local sales is rs. 80,000/- Inter state sale rs. 20,000/- with c form Inter state sale rs. 30,000/- without c form. Input vat credit is rs. 10,000/- Out put vat rs. 8,000/- Cst on sale with c form rs. 400/- Cst on sale without c form rs. 3,000/- Finally after adjustment liability in the hands of trader is rs. 1,400/-

CST Sales without 'C' Form cannot be adjusted. You'll have to pay that particular Amount separately.