Can anyone help me out

Tax queries 978 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.
hello sir, plz clarify one doubt is the vat paid is allowed to take credit for cst payable.
Form H is nothing but a chain reaction wherein the exporter gets Form C he inturn gives it to the intermediateary with which he will have to submit form E-I and pass it to the other intermidiatary who will inturn submit form E-II with the form C of the exporter. This process keeps reapeting till it reaches the final consumer.


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