How to file vat for same company name in two states?

Hi,

When you purchase the product from Tamilnadu from Karnataka, you wil end up paying CST which you can not utilise to set off the VAT Payable in Karnataka.

The CST you paid on tamilnadu purchases will be going to Tamilnadu govt which proves that you can not get the benefit of set off with taxes payable in Karnataka.

Thanks.

Suri

In your case you can purchase the product from TN against Form-C @ 2% since both the companies are registered with ST Dept. and sell it in Karnataka for 14.5%.  ( but my question is the products in TN 5% how it will be 14.5% in Karnataka may i know the product name, generally all items which are considered luxury is charged @ 14.5%).

In TN interestate purchase CST-2% you can avail as Input Tax Credit, pl. check in Karnataka whether it's allowed, if allowed you can adjust against the VAT payable.

Sorry -- Interstate purchase is not allowed in TN only Interestate Sales is allowed for ITC ADJUSTMENT