Understanding VAT and CST: Can You Claim Refunds and How Does Assessment Work?

Hi friends,

This is Bhaskar wishing you all the best. I request if any one of you could please clarify my doubt on Apvat? Can we claim a refund under the VAT act for any CST we pay while filing the VAT and CST monthly returns? Similarly, is the assessment procedure that was in the state sales tax also present in the VAT act? Please clarify my doubt.

Dear Bhaskar,

As I understand from your question:

1. You are purchasing material within the state of Andhra Pradesh and paying VAT on such purchases.
2. You are also making purchases from outside the state of Andhra Pradesh and paying CST on those purchases.

You wish to know whether the credit of CST can be taken when filing your return. Please note that it is not allowed as we have a consumption-based model of VAT. Only VAT paid within the state is available for credit.

There are no assessments under VAT. The department is conducting an audit of the books of accounts, similar to the erstwhile audit.

Regards,
Vishwanath