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Can anyone help me out

Tax queries 1095 views 3 replies

hai all of u

i have query regarding Form H can anyone explain me the reasons and the basis of the issue of this form and i have a doubt that if a sale is made with the help of form h is the Vat exempted totally or not

these issues i came across in my audit so pls help me out

 

Replies (3)
Certificate in form H - Sale during course of export is exempt from CST. As per section 5(3) of CST Act, penultimate sale is also deemed to be in course of export and is exempt from CST. Dealer actually exporting the goods has proof of export like customs documents, bank certificate, airway bill/bill of lading, shipping bill etc. However, the penultimate seller does not have any direct evidence to prove that his sale is exempt from tax. In such cases, the actual exporter has to issue a certificate to the penultimate seller in form H. The blank ‘H’ forms are to be obtained from sales tax authority by the final exporter.
Even under VAT ,dealers can use Form-H instead of Form-14B .Refer Cir-VAT-2005/Act/VD-1 Trade Circular-11 T of 2005 Dt 30/05/2005 available on web-site.
Thanks for the Info Sir


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