vat is a value added tax which is leived in case of
manufacturing & cst is leivied when inter or intra state
transaction is made on freight charge vat &cst is not
caluculated but freight was related to service so service
tax is caluculated on it
VAT Is chargeable on Freight (transporatation of goods) in
case Transport is providing by the same Party.
In case Tranporatation by some other party then Service tax
is applicable on the Freight.
In case of CST Tranactions it is clear that VAT is not
applicable on Freight
If the Freight is included in Invoice we need to pay VAT. If it possible to find Seperatly freight charges, no need to pay VAT or CST. Only Service Tax is to pay. Now VAT is 4% and Service Tax is 10.3% to get benfit of Tax, all Traders are computing VAT on freight.
strictly speaking Service Tax is applicable to Freight. No CST or VAT
VAT or CST is not applicable for Freight or Packing and Forwarding Charges if it is mentioned and collected in the invoice separately. But at the same time freight or packing charges shall not be a part or included in the price. ie, there shall not be direct relation with freight and Price.Example. if freight is charged as a percentage of price , it will be taxable.
As per my opinion vat should be calculate on delivery e.i
bill amount+freight+vat+vat, in state, other than state it
should be calculate cst. how i know corrent answer. you are
giving only rank not answer