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Ap vat - cenvat credit

Satheesh (CMA & CA Final) (189 Points)

20 March 2013

Hi,

Can we setoff input CST to VAT payable.

Thanks,

Satheesh

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2 Replies

VIKAS.A (SOMETHING IS BETTER THAN NOTHING) (1095 Points)
Replied 20 March 2013

YOU CANNT SET OFF CST INPUT WITH VAT PAYABLE BUT U CAN SET OFF VAT INPUT CREDIT WITH CST OUTPUT PAYABLE, THOUGH FIRST IT IS TO BE SET OFF WITH VAT PAYABLE ONLY

(Guest)

DEAR SATHEESH

You cannot setoff input tax paid on central purchase with the vat, since credit of central purchase is not permitted as per DVAT ACT 2005.
However if you are registered dealer than you have to pay minimum rate of tax (i.e. @ 1%) during central purchase.

I hope that you are registered dealer and surely will pay only 1% tax against "C" form.

ACA ASHISH GUPTA

(COUNSELOR)