CST or VAT which on is applicable

VAT (Legacy) 3070 views 6 replies

Sunil Mate

Officer in Finance

111 Points Posted on 15 July 2011

Dear Sir,

my case is

1) i received the Purchase order From UP Customer for manufacturing of Moulds and delivery terms mentioned in PO are Delivery at UP Plant

2) After Manufacturing, we raised the bill to UP Customer by Charging him CST @ 2%.

3) but later on as per instruction of UP Customer, we transfer the finished mould within the state to our branch for manufacturing of Customer specified goods by using the mould.

4) Here, Customer prepare the Seprate Loan Document which is Clearly mentioned that the Proporty (i.e. Moulds) are in the name of customer of UP and we have to use only for Mfg. purpose of customer.

5) Now, Customer claiming that CST is not chargeble on this transaction and we must charge the VAT on the same

Please suggest, which tax i can charged.

Replies (6)

ashish gupta

student

1922 Points Posted on 15 July 2011

If i understood correctly then customer is right as the transaction is separate trnasaction and that too is with in the state. so you should charge VAT on the same.

E.KALAIKOVAN

Sr. Accounts Manager

352 Points Posted on 22 July 2011

Trading Activity

CST is applicable, if the goods are moved from one state to another state.

VAT is applicable, If the goods are moved within the state.

Manufacturing

Whether the manufactured goods moved within the state or one state to another state, Excise duty is applicable.

In your case, both Excise duty and CST are applicable.

SACHIN

Accountant

30 Points Posted on 26 July 2011

Good Afternoon

Dear All,

Please help me,

when i am issued a "c" form to party than which amount is show in c form.

(before cst Taxable Amount/ after cst Invoice

amount )

E.KALAIKOVAN

Sr. Accounts Manager

352 Points Posted on 28 July 2011

C Form is to be issued to the Purchase value (After CST). If you want, give the break up in the back side of the C From.

Nipun Sood

Accountant

21 Points Posted on 09 August 2014

What is the CST rate for goods purchased from Haryana ?

Rekha

Accountant

22 Points Posted on 20 December 2016

WE ARE MANUFACTURING IN MAHARASHTRA, OUR CUSTOMER IS IN MAHARASHTRA, BILLING ADDRESS ALSO IN MAHARATRA AND CONSIGNEE ADDRRESS IS IN GUJRAT MATERIALS DELIVARY AT GUJARAT , WHICH TAX IS APLLICABLE VAT/CST , WHICH BILL SHELL BE RAISE