Comparison between VAT & GST

Very simple way to understand

VAT - is state specific limit 40 L

GST - GST Registration limit 20 L +

VAT - TIN based Registration

GST - PAN based Registration

VAT - Interstate transactions (CST) no Input Tax Credit

GST - Seamless flow of Input Tax Credit

VAT - Declaration Forms like C, H etc are applicable

GST - No Declaration Forms

VAT - Returns by 20th of succeeding month

GST - Returns by 20th of succeeding month but in a phased manner (Sales by 10th, Purchases by 15th and payment by 20th)

VAT - There is no specific mode of payment

GST - Mode of payment if exceeds 10,000 by e-payment, less than is optional

VAT - Immediately after filling avail Input Tax Credit

GST - Once the Supplier pay tax then only seller gets ITC

VAT - No rating for the Business

GST - GST rating based on timely filling of returns & payments.

For more details, stay connected at mrtandassociates@gmail.com

Regards,

CA Rahul Gupta

(Practicing Chartered Accountants)

M R T & Associates, Chartered Accountants