VAT percentage on software products

Hi all,

I would like to know the percentage of VAT & CST which is applicable on purchase of Software products which are in CD- pack (like SAP or BAAN).

& information require is there any octroi chareges applicable according to geographical areas.

regards

bvdv

 

 

Replies (2)

It depends in which state you are purchasing the software. However, generaly in maximum states the VAT is 4%.  CST is also 4%. If you issue the "C" form to the supplier of software, then he may charge the CST @ 2%.

Octroi depends on the area where you are buying the software. In Maharashtra, the Octroi is 4%. At some places there is Cess which is also around the same rate.

 

Hi,

We are selling a software product (CD - like Tally, etc.) in Tamil nadu to a client in same state. I would like to know the percentage of VAT to be added. Will CST and OCTROI charges be applicable. Kindly guide me.

 

Regards,

Bhuvana.

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