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

Eligibility of CST Credit on Opening Stock Under GST Regime Discussed; Responses Indicate Non-Allowability of Such Credits A query was raised about the eligibility of credit for Central Sales Tax (CST) at 2% on opening stock under the Goods and Services Tax (GST) regime. Three responses were provided. The first respondent stated that CST paid at 2% on opening stock is not allowed as credit under GST. The second respondent confirmed that credits not allowable under existing laws remain non-allowable under GST. The third respondent inquired about input tax credit calculations under GST for VAT paid at 5%, using an example involving sales and GST rates.