CST PURHASE RETURN

[venkat eswaran]

Dear Experts,

We have our mfg plant at Chennai. We have returned our CST purcased goods after 1 year.

For this we have raised our invoice and chrgd excise duty and 2 percent CST in invoice.

So I need pay this CST 2 percent to the government and show in Return also I am right?

when filing form 1C [ CST return in TN] in appendix II how can i show this transaction.

We have our CST sales  and showing this in Appendix II and form 1C. For this CST purchase return how can i show and pay the CST amount?

Pl given your valuable replies

Thanks & regards

Venkat

[YAGAY and SUN]

Dear Venkat,

The procedure adopted by you is according to the provisions of CST Act, 1956 read with Rules made thereunder.

You would also not issue the CST C form for rejected purchased items. For incorporating the information in the Form 1C, please take the help of your consultant or discuss it with the VAT Department Authorities.

Regards

Team YAGAY & SUN

(Management & Indirect Tax Consultants)

AI Summary

CST on purchase returns requires payment and reporting in returns; C-form not issued for rejected purchases.
CST liability and reporting arise on returned purchases where the supplier issues an invoice charging excise and CST; the tax charged must be paid and disclosed in statutory returns. For Tamil Nadu Form 1C and Appendix II the transaction should be shown in accordance with the CST Act and rules, and a C-form should not be issued for rejected or returned purchased items; taxpayers should consult a tax consultant or the VAT Department for correct reporting.