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Vat cst clarification

Kumar (Properitor) (40 Points)

18 March 2013

Hello Experts,

This is Kumar from Chennai. I have a question which is very generic, still different people give me different answers.

I am an online seller located in Chennai selling electronic goods. We purchase products from Chennai and sell all over India.

My question is when i sell to a customer who is located outside of Tamil nadu, do i need to bill the product under VAT or CST ? I checked flipkart.com all products are billed under Karnataka interstate VAT. i dont know what is interstate VAT. Please advice.

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2 Replies

Asif Khan (Taxation executive) (410 Points)
Replied 18 March 2013

If you are selling goods outside your state then you have charge CST at local rates if selling without C form or @ 2% in later case.. I think the word Interstate Vat used is for CST only.

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Nazia (Asst Manager - Finance) (139 Points)
Replied 25 March 2013

who has to issue C-form? For example, Goods are purchased from Bangalore, I am in chennai , my customer is in punjab. Invoice is raised on my company, chennai. But goods are delivered directly to my end customer in punjab. In this case who has to issue the c-form. chennai company or punjab company?

Pls reply