R Gopalakrishna Pillai (finance consultant) (75 Points)
09 June 2010Sir,
I want to know whether sale in transit is possible in case of import consignment. That means I am based at bangalore and importing some materials from UK. Now i want to ship the materials directly to hyderabad with out charging CST/VAT. is it possible?
Regards,
Gopal
SRINIVASA MURTHY
(Asst Manager (Finance))
(186 Points)
Replied 09 June 2010
| Originally posted by : R Gopalakrishna Pillai | ||
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Sir, I want to know whether sale in transit is possible in case of import consignment. That means I am based at bangalore and importing some materials from UK. Now i want to ship the materials directly to hyderabad with out charging CST/VAT. is it possible? Regards, Gopal |
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Dear Mr.Gopal
Sale in the course of Import is not liable to Central Sales Tax, the sale should be done by transfer of title of goods. the importer should not tax posession of goods, once the goods imported and posession has been taken by the importer then, such sale is liable to CST/VAT.
Sale by way of transfer of title of goods during their transit is not liable to CST
SRINIVASA MURTHY
CAclubindia
