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CST ceiling rate cut notified
March, 31st 2007
The Finance Ministry has announced that the ceiling rate on central sales tax (CST) would stand reduced from 4 per cent to 3 per cent from April 1.

The revenue department has now issued a notification to this effect.

An official release said that the rate of CST on inter-State sale to registered dealers (against Form C) would stand reduced from 4 per cent to 3 per cent or the rate of VAT/State sales tax applicable in the State of the selling dealer, whichever is lower.

The rate of CST on inter-State sale other than sale to registered dealers shall be the rate of VAT/State sales tax applicable in the State of the selling dealer.

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