On implementation of VAT, what will happened with Central Sales Tax Act?
Both VAT act and CST act cannot go simultaneously. If VAT has to be successful CST must go. As per the present policy CST act will remain in force with the laps of time it would be abolished. Presently on inter-state sales, although no VAT is chargeable, yet CST would be charged as is being done today. The Central statutory forms C, D, F and H etc. shall continue to remain applicable. CST rate will gradually reduced from present 4% to 0%.
