Understanding VAT and CST: What Do These Tax Terms Mean for Your Business?

VAT and CST (Act, Rules, Procedures, Forms, Formats, Filings, VAT entries, and overall areas) - what are these?

VAT stands for Value Added Tax, which is a type of indirect tax levied at each stage of the production process, whereas CST stands for Central Sales Tax, which is a tax on sales of goods in India. These taxes are governed by specific Acts, Rules, Procedures, Forms, and Formats. VAT entries refer to the accounting entries related to Value Added Tax. Filings are the processes of submitting tax returns and related documents to the tax authorities. Overall, VAT and CST regulations cover various areas of taxation and compliance in business operations.

Hi Premlatha,

Though these are not related to the HR field, it is important for any business. VAT is the hottest topic in the business world now. Even big companies are changing their strategies to get the best benefit out of this. CST is the sales tax levied by the Central Govt on goods that are sold. As advised by Ms. Swarup, you may get more details from the web.

Regards,
Sathya

Dear Premlatha,

CST is a central levy administered by the Central Government for various goods sold. On the other hand, VAT is a state tax, and the competent authority overseeing it is the State Government. VAT regulations vary across different states.

Please specify the state you are referring to.

Regards,
Byomjeet