Vat/cst & service tax

         Mr. Ramakrishnan,

      The taxable income with respect to IT and ST can be done together. But, for VAT you have to maintain seperate sale accounts of SW in Karnataka and Maharashtra. You have to send the SW from Bangalore to Mumbai on stock transfer basis and get 'F' form  Mumbai branch. Or ,if your Mumbai customers can issue 'C' form you can directly bill from Bangalore charging only 2% CST.

MJK

Originally posted by : M. Ramakrishnan
	We have Centralised registration for Service Tax. Our Central office is in Bangalore and hv a branch in Mumbai. We maintain Accounts and billing of both office @ Bangalore. Software sales attract both VAT/CST & also Service Tax. We stock transfer SW to Mumbai branch. Later we raise bill on endusers from Mumbai charging VAT & Service Tax. Having Centralised registration of Service Tax, on the Sale bill from Mumbai should we have our Mumbai Address only on top of the bill? 1. If so will it affect Centralised registration rules? 2. If we will hv to mention Bangalore Address only on the top, how it affects our MVAT, on Maharashtra VAT point of it. 3. Can our enduser account a MVAT bill with Bangalore address on top. 4. Can we maintain Two books of Accounts @ Bangalore for Bangalore & Mumbai. Anyway, we submit consolidated Returns to Income Tax. Can u suggest and give opinion and solution Rgds /Ramakrishnan

1. you have to print your bills as a) Head office - Bangalore and Branch Office Mumbai , mention Mumbai VAT registration details, and issue invoice from mumbai itself, but the serial number should be maintained at bangalore, 

2. Better to use branchwise servicetax return, as it will litigate the matter with service tax and vat, as service tax centralized return will ask for centralized billing at bangalore, while vat at mumbai will ask for seperate invoice system.

3. obtain a seperate service tax code at mumbai branch.