VAT & CST

you can avail input vat. if you purchase withought c form then cst will also 12.5%

Being the end user, shall I get Input VAT credit?

If YES, how to encash it ?

Regards,

Satish

Dear Satish

Since vat credit is applicble only on local purchase and no credit on cst purchase whether against C form or without C form. Hence it is always advisable to buy goods locally for trading concern.

Even though base value for both taxes are same, but final landed cost under CST & VAT to end user is different. Under Inter state purchase End user will not get credit on his purchase hence his Landed cost increse by 2% (purchase against C form) . But if he purchase within state then, even though he pay 12.5% vat, still his landed cost is lower, because he will get  credit.of whole vat amount, which is not permiseble for CST.