CST SALES RETURN

[venkat eswaran]

Dear Experts,

WE got our CST sales rejected matls after 2 years. Since it is more than 6 months we are not able to reverse the CST 2 percent paid amount,

but we need to account in sales return. we have accounted in sales return without reversing CST 2 percent .

My question is whether we have to show this transaction in CST Return or Not? Since no CST is revresed. Please give your valuable reply

Thanks & regards

Venkat

AI Summary

Statutory disclosure of CST sales returns required even if tax reversal is unavailable; maintain documentary correlation to avoid reassessment.
Rejected CST sales returned after the reversal period must still be disclosed in CST/VAT statutory returns even though tax reversal is unavailable; omission may lead to treatment as purchases from unregistered dealers and tax demands. Taxpayers must maintain documentary evidence showing one-to-one correlation between the original sale and the returned material for assessment purposes.