Difference in the turnover of sales in vat & income tax return

Service Tax is governed by Finance Act, 1994. It was then when the finance minister brought in taxes on services rendered to reduce the degree of intensity of taxation on manufacturing and trade without forcing the government to compromise on the revenue needs. Service tax does not have any specific act to govern its stipulations.

VAT (Value Added Tax) is governed by respective state Acts. Every state has a separate and distinct VAT act reserved for their state.

CST (Central Sales Tax)  is governed by Central Sales Tax Act, 1956. This tax is governed by a single central act, though the chargeability is state specific.