VAT/CST Structure base in Tamil Nadu

[Vidhi Agroyee]

Dear Sir/Ma'am,

We have branch in Tamil Nadu, where our vendor charge sales tax on cumulative basis(Sales Tax over Gross Amount + Service Tax), but when we go to the customer he doesn't accept it.

Can you please explain or make us understand this to us or is there any notification or circular regarding this which we can refer and share to our customer.

Regards

[DR.MARIAPPAN GOVINDARAJAN]

Whether you have got clarified in the above issue? If not please inform.

AI Summary

Sales tax on value inclusive of service tax questioned - whether inclusive valuation is permissible and what circulars govern it. Vendor charges sales tax on a cumulative basis by applying sales tax to the gross amount inclusive of service tax; the branch in Tamil Nadu seeks authoritative notification or circular to justify or oppose levying sales tax on a value that includes service tax, and the forum record shows only a follow-up query asking if the issue was clarified.