18 February 2012
In the case of Inter state trade or commerce, registered dealer can get goods at concessional rate of CST, if he produces a declaration in Form C to the selling dealer.
The Registered purchasing dealer can get blank form C from the Sales tax authorities of the state in which he is actually registered.
Contents of Form C--------- Form C contains particulars like name of issuing state, date of issue, name of purchasing dealer, to whom Form C is issued, his R.C.No., date from which R.C is valid, name and address of the seller with name of the state, details of the goods ordered and obtained. It bears seal of the Sales tax authority issuing the form.
Form C is issued by the purchasing dealer to the selling dealer who shall submit to the sales tax assessing authority.
A single Form C is sufficient to cover all transaction of sale which take place in one financial year between the same two dealers
Form E-1:
This form is to be issued by the selling dealer who makes the first inter-State sale during movement of goods from one state to another to enable his purchaser to claim the benefit of exemption from C.S.T. on the second inter-State sale effected by him during the movement of goods. This form is required to be obtained from the Sales Tax Officer.
Last but one para needs reconsideration in view of 2nd proviso to rule 12(1) of The CST (Registration & Turnover)Rules,1957 which reads as follows:- Provided further that a single declaration may cover all transactions of sale, which take place in a quarter of a financial year between the same two dealers.
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