Vat or cst bill
This query is : Resolved
28 October 2016
Sir,
My firm registered in Jaipur and I am vendor.
Purchaser firm registered in Delhi. Purchaser firm asked me send material at Jodhpur. What I do. Bill is CSt or vat and how treatment as per vat or CST and what rate applicable when he issue C Form.
My firm registered in Jaipur and I am vendor.
Purchaser firm registered in Delhi. Purchaser firm asked me send material at Jodhpur. What I do. Bill is CSt or vat and how treatment as per vat or CST and what rate applicable when he issue C Form.
28 October 2016
If you bill for Delhi and delivered at jodhpur, than it is E1 sales than CST is applicable.
29 October 2016
he issue C form or not and what rate of cst
29 October 2016
what is E1 Sales
02 August 2025
Got it! Let me break this down for you clearly:
---
### Scenario:
* Your firm is **registered in Jaipur, Rajasthan** (seller).
* Purchaser is **registered in Delhi** (buyer).
* Goods to be delivered at **Jodhpur, Rajasthan** (within Rajasthan).
---
### What type of sale is this?
* **Invoice to Delhi buyer** (out-of-state buyer).
* **Delivery in Rajasthan** (within your state).
---
### Tax treatment:
1. Since **delivery is inside the seller’s state (Rajasthan)**, this is treated as **intra-state sale** for VAT purposes, even though the buyer is out-of-state.
2. **You should charge VAT**, not CST, because goods are delivered within Rajasthan.
3. Buyer **does NOT issue C Form** here, because C Form is for interstate purchases.
4. The invoice is a **VAT invoice** at the applicable **Rajasthan VAT rate**.
---
### What if delivery was outside Rajasthan?
* If delivery was to Delhi (outside Rajasthan), then it would be **interstate sale** and **CST** would be applicable.
* In that case, buyer issues **C Form**, and CST is charged at **2% or applicable rate**.
---
### What is E1 sale?
* **E1 sale** means intra-state sale where goods are supplied within the same state but invoiced to a buyer in another state.
* Usually, E1 sales occur when the place of business of the buyer is in another state but delivery is within the seller’s state.
* For E1 sales, **VAT applies**, not CST.
---
### Summary table for your case:
| Situation | Tax to charge | Form issued by buyer |
| ------------------------------------------------- | -------------------------------------- | -------------------- |
| Invoice to Delhi, delivery in Jodhpur (Rajasthan) | VAT (Rajasthan VAT) at applicable rate | No C Form |
| Invoice to Delhi, delivery in Delhi | CST at applicable rate (usually 2%) | C Form |
---
If you want, I can help you draft the invoice or explain the process to get C Forms or VAT invoices. Let me know!
---
### Scenario:
* Your firm is **registered in Jaipur, Rajasthan** (seller).
* Purchaser is **registered in Delhi** (buyer).
* Goods to be delivered at **Jodhpur, Rajasthan** (within Rajasthan).
---
### What type of sale is this?
* **Invoice to Delhi buyer** (out-of-state buyer).
* **Delivery in Rajasthan** (within your state).
---
### Tax treatment:
1. Since **delivery is inside the seller’s state (Rajasthan)**, this is treated as **intra-state sale** for VAT purposes, even though the buyer is out-of-state.
2. **You should charge VAT**, not CST, because goods are delivered within Rajasthan.
3. Buyer **does NOT issue C Form** here, because C Form is for interstate purchases.
4. The invoice is a **VAT invoice** at the applicable **Rajasthan VAT rate**.
---
### What if delivery was outside Rajasthan?
* If delivery was to Delhi (outside Rajasthan), then it would be **interstate sale** and **CST** would be applicable.
* In that case, buyer issues **C Form**, and CST is charged at **2% or applicable rate**.
---
### What is E1 sale?
* **E1 sale** means intra-state sale where goods are supplied within the same state but invoiced to a buyer in another state.
* Usually, E1 sales occur when the place of business of the buyer is in another state but delivery is within the seller’s state.
* For E1 sales, **VAT applies**, not CST.
---
### Summary table for your case:
| Situation | Tax to charge | Form issued by buyer |
| ------------------------------------------------- | -------------------------------------- | -------------------- |
| Invoice to Delhi, delivery in Jodhpur (Rajasthan) | VAT (Rajasthan VAT) at applicable rate | No C Form |
| Invoice to Delhi, delivery in Delhi | CST at applicable rate (usually 2%) | C Form |
---
If you want, I can help you draft the invoice or explain the process to get C Forms or VAT invoices. Let me know!
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax Audit u/s 44AB for Transport Business A proprietorship is engaged in transportation business and
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
