( Querist )
30 April 2009
We have got an order from Indian Oil, Bangalore for S/F/I of some items on petrol pumps. We are registered dealer under VAT in Maharashtra.
1.As per KVAT Act, VAT to be paid over there on the basis that property is created under W.C. in the state of Karnataka.
2.IOCL Bangalore will deduct WCT TDS from payments to be made to us.
3.We will get registered under KVAT Act.
4.We want to transfer material from Maharashtra to Karnataka for this W.C.
5.We do not have any permanent establishment in Karnataka earlier to this. After registration also we will not have any fixed establishment over there.
6.We have procured major portion of material in our name.
7.We will procure remaining portion of material directly in Karnataka against Form C. (Karnataka Br. will issue form C to H.O. in Maharashtra)
8.We have to transfer material in our name form Maharashtra to Karnataka.
9.Whether we should charge CST @ 12.50% on material movement or against Form F (NIL Tax, as our Karnaka Br. will issue form F to H.O. at Maharashtra)
10.We understand that the same goods can't be taxed twice in the same transaction.
11.We understand that Form F can't be issued, if there is pre-existing contracts.
12.In case of W.C. anyone can't transfer material on ahoc basis, but will transfer only that material required for that W.C.
13.In conlcusion of above whether we can transfer material for interstate material against Form F to avoid double taxation.