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Regarding interstate sales

Rohit (ICAI) (259 Points)

03 July 2012

If i go for interstate sales n buyer dont purchase against C Form.....should I Charge VAT or CST???

I charged VAT on Interstate Sales bcoz buyer dont wanna to purchase against C Form......

Is it correct or not........plz guide me i m in big tension......should i revise my return???

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4 Replies

Ajit kumar Dubey (Taxation Manager) (637 Points)
Replied 03 July 2012

If you are selling any product on which dealer is not providing any C Form, then you need to charge the local rate of tax applicable on the said product. But in no way it can be shown as local sale, it has to be charged as CST @ local rate. Simultaneously to be shown in Form-I to be filed as CST Sale and not in VAT return.

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Rohit (ICAI) (259 Points)
Replied 03 July 2012

Thnx Ajit

Bt 1 more thing is that should i revise my return.....actualy i m thinking Since buyer is not going for tax credit.....so there should b no need to revise return.....plz tell

Harshal Fifadra (Chartered Accountant) (1489 Points)
Replied 03 July 2012

If you have shown the above transaction in VAT RETURN then the return needs to be revised and if the above transaction is shown in CST return then it is correct ...

View of ajit is correct ...