can we issue form-c ?

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srinivasulu (Querist)
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22 September 2008 Dear All,

Please suggest,

Sir, we are in manufacturing and selling Business. Now the problem is we are sending goods for Jobwork purpose local and out station parties also (Inter State)
One of our party is in Bangalore and we are purchasing goods from local party and sending directly to our bangalore party.
Our creditor is charging 3% CST against form-C. (after completion of jobwork they are return goods to our Hyd plant) In this regard can we issue form-C or Not? If yes, can we collect any proofs from them? One more point is our people also raising purchase order against form-c, 3% CST.

Please suggest me!

Thanks & regards

srinivasuluc

S.Srinivasaraghavan

S.Srinivasaraghavan (Expert)
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22 September 2008 If the sale of goods occasion the movement of goods from one state to another, it will be interstate sale. You have to see if this condition is present in your case.

CA. Harinder Kumar

CA. Harinder Kumar (Expert)
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22 September 2008 more over CST is now 2% not 3% other thing is as per Mr. Srinivasaraghavan

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CA. O.P. Agarwalla

CA. O.P. Agarwalla (Expert)
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24 September 2008 What I understood from the question is this:-
The dealer is purchasing and sending goods to other states for job work thereon and after job-work those goods are returned to the dealer. The contractors in other states charges CST on such Job Work. In such a case whether the dealer is authorised to issue C Form?

If I have understood the question properly, I would like to say that yes the delaer can issue C form.