CST for Imported Items within State

This query is : Resolved

Guest

Guest (Querist)

08 June 2011 Dear Experts,

We are importing certain goods at Kolkata port and Want to sale them in kolkata only, Can we sale them at CST since we have NO VAT number for WB state but having HO at Mumbai??

Regards,
Rita Paryani

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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09 June 2011 Import Or Export In Sales Tax India
Inside Or Outside A State Sale Or Purchase.

Section 4(2) Central Sales Tax Act states that a sale or purchase of goods shall be said to take place inside a state, if the goods are within the State, in the following situations:
• If the goods are specific (Goods, identified and agreed upon at the time of making of the contract of sale) or ascertained, at the time the contract of sale is made.

• In the case of unascertained or future goods, at the time of their appropriation to the contract of sale by the seller or by the buyer, whether assent of the other party has been made prior or subsequent to such appropriation.
Hence, Sub-section 2 to S 4 lays down that the sale or the purchases of goods are deemed to take place inside a state in the following cases:
1. In case of ascertained goods or specific goods i.e. such goods are within the state at the time of contract of sale.
2. In the case of unascertained or future goods i.e. such goods are in that State in which the goods are situated at the time of their appropriation to the contract of sale by the buyer or seller.
When goods are sold or purchased inside any state, as explained above, such sale or purchase is said to have taken place outside ALL other states. Where there is a single contract of sale or purchase of goods, situated at more than one place, the provisions of the Act will apply as if there were separate transactions in respect of the goods at each of such places.