Credit on Opening stock

[Vivek anandhan]

Dear Expert

Whether CST 2%( paid on Inter state purchase ) credit allowed on opening stock under GST regime

Regards

Vivek

[Guest]

The answer is big NO

CST paid@ 2% on opening stock will not be allowed in GST regime.

[Himansu Sekhar]

The credit which is not allowable in the existing law will also not be allowable under gst act

[Raman Singla]

What will the input tax credit in GST (18%) for VAT @5% ????

e.g. ₹10000/- paid VAT is on books for purchase of 2 lacs...now if sale is made of 2 lacs , GST wil be @15 % = ₹36000/-

How much tax should be deposited ??????

AI Summary

Input tax credit: CST on interstate purchases is not allowable as GST credit for opening stock. Input Tax Credit on Central Sales Tax charged on inter state purchases cannot be claimed under GST for opening stock; forum respondents uniformly state that CST paid on opening inventory is not allowable as GST credit and that credits not permitted under the prior law are unlikely to be available under GST, raising related concerns about reconciling prior VAT with GST input tax liabilities.