What is CST 2%?

What is CST 2%?

NEW DELHI: The central government on Friday reduced the Central Sales Tax (CST), a levy on inter-state sale of goods, from 3% to 2% effective from June 1 – a delay of two months from the earlier schedule. Being a levy on inter-state sale of goods, CST creates distortion in the way of common Indian market.

How is CST calculated in India?

In an inter-state sale to government against form D the rate of CST is 4% or local sales tax rate whichever is lower. Rate of CST in case of inter-state sale of declared goods without form C or D is twice the rate of tax applicable to the local sale or purchase of such goods in that state.

What is CST full form?

The full form of CST is Central Sales Tax. It is a form of indirect tax which is imposed on goods sold from one state to another.

How can I get CST number?

Mandatory documents required to apply for a TIN registration are: ID Proof / Address proof / PAN card of proprietor with 4 to 6 number of photographs, Address proof of Business premises, 1st Sale / Purchase Invoice, copy of LR/GR & payment/collection proof with bank statement, Surety/Security/Reference.

What is VAT and CST tax?

VAT and CST registration apply to all companies providing goods and/or services in India. The Value Added Tax (VAT) applies to goods or services provided within the state. Any goods or services provided between the state is Central Sales Tax (CST).

Who is registered dealer under CST?

An Auctioneer who caries on the business of selling or auctioning goods belonging to any principal, whether disclosed or not and whether the offer of the intending purchaser is accepted by him or by any principal or a nominee of the principal.