Interrstate purchase

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 November 2014 Dear Sir,

Our Dealer has Started Trading of Rice which are purchased from Interstate Dealers.

I want to know that can we have only CST Registration for issuing C-Forms or we have to compulsorily get Both VAT & CST No ??

Amol S Joglekar

Amol S Joglekar (Expert)
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17 November 2014 You can have only one registration. No problem. But it is advisable that you get yourself registered under VAT as well, in addition to CST

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Querist : Anonymous

Querist : Anonymous (Querist)

17 November 2014 But Sir there wont be any liability of vat in future !!

I mean Dealer wont sell any Taxable Commodity in Gujarat.

what should i do then ??

Amol S Joglekar

Amol S Joglekar (Expert)
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17 November 2014 Try to understand the Other side of the table. When you are saying interstate purchase...SO? obviously the local sales tax officer will like to see to it that what you do with this purchase. So it is advisable that you also get registered for VAT.

Querist : Anonymous

Querist : Anonymous (Querist)

18 November 2014 Right Sir but rice is exempted in gujarat.
so i think there wont be vat payable.

Amol S Joglekar

Amol S Joglekar (Expert)
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18 November 2014 That is right. Taking registration number does not mean that you should start paying VAT.

Querist : Anonymous

Querist : Anonymous (Querist)

18 November 2014 Right sir but taking vat no in gujarat cost us

25000 advance tax + 10000 deposit + fees etc.

then why should we go for it ??

Amol S Joglekar

Amol S Joglekar (Expert)
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18 November 2014 If yours is a small business and you intend to be small, then what you are saying is correct.