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C-form collection

P.KUMAR (ACCOUNTANT) (29 Points)

29 May 2013

AFTER RECEIPT OF MATERIAL, THE BUYER IS NOT BOTHERING TO TAKE OUR CALLS OR REPLY EMAILS SENT TO THEM.

WHAT IS THE METHORD BY WHICH WE CAN COLLECT C-FORMS FOR OUR SUBMISSION TO LOCAL SALES TAX OFFICER DURING ASSESSMENT.

IS THIER ANY FORUM WHICH EXTEND SERVICE / SUPPORT FOR SUCH FAULTERS. IS THEIR ANY PROVISION TO SUBMIT THESE DEFAULTER TO LOCAL SALES TAX OFFICE / CLIENTS SALES TAX OFFICE.

IN THOSE CASE WHAT FORMALITIES TO BE FOLLOWED.

P.KUMAR

CHENNAI.

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3 Replies

CA Smit Shah (B.Com, M.Com, C.A) (759 Points)
Replied 29 May 2013

Hey,

I dont know about remidies under the act but you can collect tax @ 15% and refund the same after retaining 2% CST on receipt of C Form.

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SANKAR MAJUMDAR (COST ACCOUNTANT) (111 Points)
Replied 06 June 2013

This is an universal problem. Since there is no possibility now a days to have a C form in advance, it is advisable to supply to one time casual buyers by charging the entire local vat rate in the bill and collecting the money if possible under the circumstances and then refunding the excess tax collected when the C form is received.

I have not heard of any authorised agency of institution dealing with such problems but you can give it a thought of writing a letter informing the matter to the sales tax authority under whose jurisdiction the defaulting dealer is assessed.

P. Singh (Partner (Legal Matters)) (62 Points)
Replied 23 June 2013

Originally posted by : P.KUMAR

I AM ATTACHED TO A TRADING COMPANY IN CHENNAI. WE USE TO SUPPLY MATERIAL AGAINST FIRM ORDER FROM OTHER PLACES LIKE KARNATAKA (INTER STATE). WE NORMALLY SUPPLY MATERIAL WITH 100% AGAINST PRO-FORMA. BUYER COMPANY PROVIDES CST NUMBER AND ASK FOR 2% CST DISPATCH. SO THEY PAY TO THAT EXTEND ONLY.

AFTER RECEIPT OF MATERIAL, THE BUYER IS NOT BOTHERING TO TAKE OUR CALLS OR REPLY EMAILS SENT TO THEM.

WHAT IS THE METHORD BY WHICH WE CAN COLLECT C-FORMS FOR OUR SUBMISSION TO LOCAL SALES TAX OFFICER DURING ASSESSMENT.

IS THIER ANY FORUM WHICH EXTEND SERVICE / SUPPORT FOR SUCH FAULTERS. IS THEIR ANY PROVISION TO SUBMIT THESE DEFAULTER TO LOCAL SALES TAX OFFICE / CLIENTS SALES TAX OFFICE.

IN THOSE CASE WHAT FORMALITIES TO BE FOLLOWED.

P.KUMAR

CHENNAI.

This problem is faced by almost every seller engaged in interstate trade in this country. There are laws to penalize seller in case of defaults, but none for buyer.....