Issuing of C Form

W.e.f. 1-4-2007, the max CST rate = max. prevaling VAT rate for the product in the state in case C Form is not issued.

For example, there is a product whose max. VAT rate in a state is 1% (for eg. gold, silver, etc.). So the CST should be 1% with or without Form C.

Therefore is there any need of issuing Form C in this case??

We are manufacturers.

Please respond asap.