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C form

VINAY KRISHNA (Assist Manager-Costing) (40 Points)

24 August 2011

Hi,

we have already issued C-Form for the Interstate purchases we made(Ex.Inv # 1). However, now we have line rejections of the material for which we already issued C-Form and then we raised a Credit Memo(CN #1) for these rejected Material. And then reduced the payment in the next invoice(Inv #2).Hence, please advise me on the below.

1. What about the C-Form issued already for the Inv #1 with excess value in which I have not considered the rejections.(How to alter the issued C-Form)

2. If not possible can I issue the the C-Form for Inv #1 with negetive amount for the rejected material.

3.if the above two options are not possible, can I reduce this rejected material value in Inv #2 and then issue C Form for the remaining Value.

Regards,

Vinay

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4 Replies

CS Bijoy (Expert) (6394 Points)
Replied 24 August 2011

One option you can take that is at the time of submiting utilization or before that you can send the intimittion to the department regarding the rejection along with the cancel copy of the invoice.

RENGARAJ R.K (ADVOCATE) (7557 Points)
Replied 25 August 2011

1) Is it a manual C form or online computerised C form which you have issued to the party?

If it is manual, kindly call for the C form and cancel it (all the copies) or alter the value with full signature for the value after reducing the rejected value.

Since this is only beginning of the accounting year, your supplier would not have submitted the said c form to his circle, i believe.

2) It is always better to issue the c form after the next quarter. Then only you will know whether any purchase return or rejection is there.

rengaraj r.k

VINAY KRISHNA (Assist Manager-Costing) (40 Points)
Replied 25 August 2011

Hi Rengaraj,

Thanks a lot for your reply.

It is applied thru online. So can you please let me know what further steps I can do.

Regards,

Vinay

RENGARAJ R.K (ADVOCATE) (7557 Points)
Replied 25 August 2011

The same thing applies to online c form also. Here, first you have to approach your jurisdictional vat authorities and inform both thro mail and by way of letter and get acknowledgement. The letter should state that you want to cancel the C form due to stock rejection. Collect c form from the party and send it to the assessing authority with counterfoil for cancellation and after their approval you can issue fresh c form to the party for the correct value. please note c form is for the quarter and not for month. So, while cancelling the c form all the 3 months transactions will be cancelled, which please note.

rengaraj r.k