swati singhania (Head) (34 Points)
08 May 2012IF X is in delhi and sells material to Y in West Bengal, and the consignee is Z in West bengal. What is the treatement of Sales tax in books of Y. Also since the way bill has been issued by z, the C form will be raised by Z in favour of X. Pls suggest the appropriate treatement,
balaji
(pavagada)
(55 Points)
Replied 08 May 2012
swati singhania
(Head)
(34 Points)
Replied 09 May 2012
Its a case where the material is being directly dispatched to mr. Z who is also inwest Bengal. Generally in such cases it becomes a case where E-1 is applicable. But here the subsequent sale (i.e from Y to Z) is an intra state sale.
The complexicity is in the first case CST is applicable while in the second sale VAT is applicable. So what is formality to claim the reduction in CST through C Form. IN precise the questions is:
1. Whether it is a case of E-1 Sale
2. How can the reduction in CST can be claimed, : Since it can only be issued by Way bill issuer i.e. Z. Who on the contrary is buying material under Vat.
3. Whether there are any suggestion for trating it like transfer of goods/delaers etc.
Subhash Sarda
(Partner)
(26 Points)
Replied 26 September 2012
Dear Sir,
DEEPAK ROHERA
(Senior Accountant)
(285 Points)
Replied 27 September 2012
Dear Subhash sarda
for any query about Form 49, MPVAT
https://www.mptax.net/download/staticContent/TOPMENU/132/134_Form_49.pdf
in your case total invoice cost is filled in column of goods decleared value (basic value+ excise duty )not included tpt. cost and tax
Subhash Sarda
(Partner)
(26 Points)
Replied 27 September 2012
Dear Mr. Deepak,
In our case actual invoice value (from Us to our client) is different than the Excise invoice from our vendor. This is sale in transit transaction. We will issue our invoice to our client along with Modvat copy of Mfr.
Kindly clarify which invoice value shall I put in the requisition for Form 49.
Arun Raut
(Director)
(30 Points)
Replied 25 November 2012
Dear Sir,
We need urgent clarification on following issue.
We party A having the VAT registration in Faridabad Haryana have a project equipment supply order from Party B who is located and registered for VAT in Karnataka. For some of the equipment we party A has placed the order for supply of equipment to Party C in Chennai. We have asked Party C to supply and ship the material to Party B directly with Billing in the name of Party A and delivery to Party B under interstate sale with C and E1 Transaction. This means material from Party C will be delivered to Party B directly as sale in transit. Party C will bill to Party A and send the material directly to Party B under our instruction. In this case the invoice valve of party C shall be Rs. 100. once the delivery is done to project site to Party B. We Party A will raise the invoice on Party B SEPARATELY for Rs. 120 as per the contracts terms. Party B will give C form to Party A for Rs. 120 and then we Party A will issue the C form to Party C for Rs. 100. Party C will issue Party A the E1 form to close the C and E1 Transaction.
Now the Questions are.
1. Whose Name will appear as consignor in E Sugam form?? Party A or Party C
2. Whose invoice number will be there in Sugam form. party A or party C
3. What will be the value of good in E Sugam form Rs. 100 or Rs. 120.
We will be thank full if experts in CAclubindia clarifies the matter urgently.
Best Regards
Arun
CAclubindia
