Form-h

This query is : Resolved

DHANDAPANI.S (Querist)
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05 December 2014 Hi Experts.One of my client purchase detergent powders from local area(tamilnadu)and then he exports the products to One Gulf Country.
Is He need to Submit Form-H to the Local Sales tax Authority or to anyone.The Export Invoice is purely merchandise export since he did not manufacture the products.just he rule as a reseller. What is the impact? Pls any one suggest me.
Thanks.

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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27 January 2015 Dear Author,

H-Form is a certificate issued as proof of Export. This form can be obtained from sales tax dept. When a exporter purchases the material from the sellers and exports then the exporter has to issue
the Form –H to the seller from whom the goods are purchased. The seller has to obtained this form – H from the exporter and show it to the sales tax dept to get tax exemption. Along with the form – H
the seller has to collect the Bill of lading (B.L) as proof of export. In case if the exporter does not release the Form – H along with the B.L the seller has to pay the Tax at the time of sales tax assessments.

There are four Quarters for one year:
April, May, June (1st Quarter)
July, August, Sep (2nd Quarter)
Oct, Nov, Dec (3rd Quarter)
Jan, Feb, Mar (4th Quarter)

Further Noted that Where an exporter (direct exporter) receives an export order and for fulfilling such order, makes purchase of the goods, under the export order, then such purchase of such goods by the exporter and the sale of such goods made by selling dealer to exporter, are also deemed to be in the course of export of the goods out of the territory of India subject to the condition that exporter issues certificate in Form H to the selling dealer.

For such sale to exporter, the exporter issues Form H to the selling dealer and in such Form H, he certifies that –
(i)goods were purchased after, and for the purpose of complying with, the agreement or order no………. dt……….. for or in relation to such export.

(ii) goods purchased have been sold in the course of export out of the territory of India; and

(iii)if goods are re-imported into India purchasing dealer will informed to the assessing authority of selling dealer.