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Difference Between VAT and CST

Difference Between VAT and CST

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Difference Between VAT And CST

Under the CST Act, the tax is collected at one stage of purchase or sale of goods. Therefore, the burden of the full tax bond is borne by only one dealer, either the first or the last dealer. However, under the VAT system, the tax burden would be shared by all the dealers from first to last. Then, such tax would be passed upon the final consumers. Under the CST Act, the tax is levied at a single point. Under the VAT system, the retailers are not subject to tax except for the retail tax. Under the CST Act, general and specific exemptions are granted on certain goods while VAT does not permit such exemptions. Under the CST law, concessional rates are provided on certain taxes. The VAT regime will do away with such concessions as it would provide the full credit on the tax that has been paid earlier. Under VAT law, first, the dealer pays tax on the sale or purchase of goods. The subsequent dealer pays tax on the portion of the value added upon such goods. Thus, the tax burden is shared equally by the last dealer. To illustrate the whole procedure of VAT, we give you an example as follows: At the first point of sale, the value of goods is Rs.100. The tax on this is 12.5%. Therefore, the net VAT would be 12.5%. At the second change of sale, the sale value is Rs.120 and the tax thereon is 15%. The tax that is to be paid at every point is 15%. The input tax is 15%. You will get a credit for first change in sale of 2.5%-- i.e. 15% -12.5%. Therefore, 2.5% will be the net rate. At the third change of sale, the sale value is Rs.150 and the tax on this is 18.75%. At the last stage, the tax paid is 18.75%. The Input Tax is 18.75%. You get a credit for second change in sale?i.e. 18.75% -15% = 3.75%. Therefore, 3.75% would be the net VAT. This means that VAT is paid in the last point tax under the sale tax regime.

0 Bikram AND CST INTER STATE SALES #2 TAX . Is This Answer Correct ? 42 Ye s 2 No Re: what is difference among VAT. CST and sale tax Answer VAT [Value Added TAx] means tax 0 Vedhavyas # 1 is local tax i. SALES TAX ARE CLOSE NOW THIS PLACE USE IN VAT Is This Answer Correct ? 6 Ye s 13 No Re: what is difference among VAT. CST and sale tax Answer vat is value added tax ( it is 0 Narender # 3 local tax on product sale) & Kumar cst is a central sale tax (it is not local tax .e. basically it is sale of other then local state.vat & cst both are sale tax Is This Answer Correct ? 9 Ye 0 No s . CST and sale tax Question Submitted By :: Guest I also faced this Question!! Answer Rank Posted By Re: what is difference among VAT. CST and sale tax Answer VAT MEANS INTRA STATE TAX . within G Kotekar the state & CST [Central Sales Tax] Inter state Sales or Transaction and Sales Tax is the Tax on Sales it may be VAT or CST.Question what is difference among VAT.

when goods are sold locally. .50 %.It means sale on central area.50 %tax will be charge.50 %.Re: what is difference among VAT.Vat is a local tax in a 0 Amit Goyal # 6 state.It depends on item. CST and sale tax Answer 0 Ramya #5 In VAT we can take credit from our purchases.when goods are sold out of state.We are saling the product than we can charge tax that is sale tax.sale can be central and local. Is This Answer Correct ? 3 Ye s 0 No Re: what is difference among VAT. Sale tax is general term used for all sold goods. sale tax. CST and sale tax Answer VAT. CST .That percentage is 4. CST and sale tax Answer 0 Jayashree #4 Value added tax is Basically . Is This Answer Correct ? 3 Ye s 0 No Re: what is difference among VAT.otherwise 5 or 12. but in CST we cannot take credit from our purchases.the tax is on C form 2 % otherwise 4 and 12.5 and 12.or within state only & CST is .Central sale tax is a sale of outside local city.In local tax we issue D-1 form aganist 4% sale or purchase.

THEN YOU HAVE TO PAY VAT AS A TAX.metal.but makes no.wine. why ? What is the rate of CST without any form on Poplpropelene yarn to be sold out of Uttarakhand if there is no express contract between parties. CST and sale tax Answer 0 Abhishek #7 Ranjan IF YOU ARE PURCHASING SOMETHING WITHIN THE STATE.Is This Answer Correct ? 2 Ye s 0 No Re: what is difference among VAT. of payments to a particular party and those payments exceeds the limits prescribed(i.electrical Asked @ Answers 1 2 1 1 . Is This Answer Correct ? 0 Ye s 0 No Other Taxation Interview Questions Question Is Accounts Payable and Vendor Payable are same ? If yes or no.e 20000 or 50000 as the case may be)is tds applicable for the same? Can anybody give the rates of TDS for daily purchased things like food. & YOU ARE PURCHASING FROM ANOTHER STATE THEN YOU HAVE TO PAY CENTRAL SALE TAX.

EXCISE DUTY. SALES TAX. how to bill for the customers if we sent our goods for selling purpose to our agents outsight the state.EXCISE DUTY.5%.Works Contract TDS 2% and retention money @ 10% Please expain TDS like return time or % of rate and how to calculte.ST.TDS. VAT.ADVANCE TAX. SALES TAX. applicable TDS rate is 2.ESI?very urgent. Pass a entry for the Contract receipts of Rs.civil items etc.PF. All Details regarding to TDS.VAT. what is Basic Value??? What is the rate of TDS for commission? Jakson 2 1 6 1 9 Godrej Banking With Late Payment Of Tds Interest Payable 13 4 6 1 1 2 4 1 1 2 Question what is the difference between CST. till the discounted bill is paid by acceptor it. CUSTOMS DUTY if a product arrives to us at mrp price of 205 and vat percentage is 12.00 . 20000 after deduction of mobilization adv 30%.item. whether TDS is applicable or not? Because amount is huge what is the difference between CST.PT. TDS 2. EXCISE . VAT.244%.ST.30%+ Basic of Sales.266% When private limited company liable to pay service tax??????? WHAT IS MEANIN OF DEPB LICENCE UNDER IMPORT & EXPORT subscription charges paid to foreign firm. What is the Penalty/Interest charges if non-payment before due date for IT. is there any need of sending c form to him or form 38 I have the Total amount of 235242. 235242 is included (ST+ED+SED) 10. remans 1)a contigent liabilities for the acceptor 2)a contigent liabilities fot the drawer 3)a contigent liabilities for the bank 4)a liabilities for the drawer chose correct answer with detils. What is WCT? On Which it is calculated? What is the difference between Advance Tax and TDS? what is GDP What will be journal entry for TDS deducated from an freight payment of RS. 15000.

SALES TAX. EXCISE DUTY.. EXCISE DUTY. VAT. SALES TAX. It is charged on each point of value addition on to the goods on the value that is added on the goods at that stage and not on the total price of goods.. CUSTOMS DUTY Answer #3 Excise Duty is applicable only for the Manufacturers.Same as VAT..Tax on the production of goods in india by state gov..Value added tax which is local on the sell of goods within the state itself Sales tax. Is This Answer Correct ? 7 Yes 7 No 0 Arun Sajwan Re: what is the difference between CST. CUSTOMS DUTY Answer #4 CST is levied on the INTER STATE sales of goods. CUSTOMS DUTY Question Submitted By :: Badamsetty I also faced this Question!! Rank Answer Posted By Re: what is the difference between CST. CUSTOMS DUTY Answer #1 CST. SALES TAX. VAT. CUSTOMS DUTY Answer #2 Excise duty is payable on goods manufactured within India subject to exsiable material. VAT.Tax on the goods imported in India 42 Yes 10 No 4 Snehit Re: what is the difference between CST.Central Sales Tax on the sell of goods within the states of India VAT. Is This Answer Correct ? Is This Answer Correct ? 0 Prafull 18 Yes 8 No Re: what is the difference between CST. VAT is levied on the INTRA STATE sales of goods. EXCISE DUTY. . SALES TAX. VAT. EXCISE DUTY.mostly dominated by VAT Excise duty. However the Traders applies Modvet on Goods they sold. Customs duty.DUTY.

. CUSTOMS DUTY is charged on goods imported from other countries. THE ABOVE THREE ARE CHARGED BY THE STATE GOVTs. EXCISE is charged on MANUFACTURED goods by CENTRAL GOVT. Now it has been largely replaced by VAT.SALES TAX is same like VAT except that it is charged at one point on the total price of goods.

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