Credit of CST with VAT

[Tanusanker dey]

can central sales tax be credited with vat? when we do CST purchase and sale locally what will be the tax rate at VAT rate or with both CST included and VAT rate? suppose if i buy goods worth Rs. 100 with CST of 3% at what price would I sell the commodity? ellaborately mention the answer.

AI Summary

CST Can't Offset VAT Across States; GST Aims to Simplify Taxation; CST Rates Gradually Decreasing. A user inquired whether Central Sales Tax (CST) can be credited with Value Added Tax (VAT) when making CST purchases and local sales, and sought clarification on applicable tax rates. The response indicated that state governments typically do not permit CST paid in one state to be adjusted against VAT liability in another state. It was noted that the introduction of the Goods and Services Tax (GST) aims to address such issues, and that the CST rate is being gradually reduced.