Shoul i pay vat or cst?

Billing Address ??

depend on Billing Address if intra state then it would be VAT and CST in case of interstate Billing Address

HI,

My purchases exeeds my sales. And we are paying VAT and CST both. Now the amount which has to be paid as sales tax is negative. So it should affect the VAT only or CST as well?? Means should we pay Zero VAT and Zero CST or only Zero VAT and full CST?? And for how long we pay Zero VAT, as our most sales are interstate.

Purchase made are from local dealers.

Please clarify. Thanks

You can follow the below steps to calculate your liability !

If Case1- >  VAT given on Purchase is Rs 5000.00 , VAT Charged from Customers (Local) is Rs 4000.00 and CST charged from 400.00,

Calculation -> Output VAT  4000.00

              Less: Input VAT   5000.00

               VAT Credit        -1000.00 

             Less : Adjust CST   400.00

              VAT Credit C/f      -600.00  (You have VAT Credit balance which you can carried forward to next Tax Period Or also claim for Refund)

If Case2- >  VAT given on Purchase is Rs 5000.00 , VAT Charged from Customers (Local) is Rs 1000.00 and CST charged from 4500.00,

Calculation -> Output VAT  1000.00

              Less: Input VAT   5000.00

               VAT Credit        -4000.00 

             Less : Adjust CST  4000.00 (Here VAT for Rs 4000 adjust with your CST Liability of Rs 4500.00 , Hence you need to Deposit Balance CST Amount i.e 500.00)

If Case3- >  VAT given on Purchase is Rs 5000.00 , VAT Charged from Customers (Local) is Rs 5500.00 and CST charged from 200.00,

Calculation -> Output VAT  5500.00

              Less: Input VAT   5000.00

               VAT Payable        500.00  (You need to Deposit VAT Rs 500.00)

and         CST Payable        200.00   (You need to Deposit CST Rs 200.00)

Thanks

Regards

Deepak Sharma

dsharma8583 @ gmail.com