Cst or vat

DVat 965 views 10 replies

Dear All,

Suppose " A" ( Mumbai -Maharashtra) purchasing goods from "B" ( New Delhi) emidiately  " A" selling same goods to "C" (new Delhi ) dilivery directly to Delhi

Question :-

1) Which type of Sales between "B" to "A"  & "A" to "C" & which form is required for saving of double taxaxtion and what is the expert idea for beneficial point of "A" 

 

 

 

Replies (10)
Are there any branch of A in Delhi

Very Good Question .... Want to know the same... Please Experts Gives Your Comment

Refer the below Link. u can get an idea

/forum/vat-query-urgent--240009.asp#.UT3Y-9Y_u2A

Answar - Between a & B is interstate Sales & Between A & C is as branch transfer stock.

 

Yes you are right Mr. Shekhavat ji...

A Selling Goods to C How It is Stock Transfer................ C is not Branch of A  ?

Dear

Sonu kumar

If C is not a branch of A then A is working as a agent of C and A is provide C Form to B as CST Purchases and CST Paid by A and there is nothing liabities to pay CST for C Party.

If C is a branch of A then it is stock transfer.

"A" do not have any branches in Delhi

If  "A"  do not have nay branch at Delhi then A work as agent of C.

suppose: X situated in Delhi purchased goods from Y in Punjab .Y booked the material on transport and send GR/RR(goods receipt note issued by transporter) to X. X instead of receiving material from transport himself sold the material to Z in Delhi (same state) by endorsing RR/GR
in the name of Z.Z takes the delivery from the transporter .
 
In this case sale from Y to X is covered under CST and X to Z is also covered Under CST as sale in transit.
 
To complete the transaction X will issue C form to Y ,
Y will issue E-1 form to X
Z will issue C form to X
 
In the above case even X & Z both are situated in Delhi but the sale transaction is covered under "sale in transit" clause of CST act so CST will be applicable and vat is not be charged.
 



Read more: https://www.simpletaxindia.net/2009/03/cstor-vat-e-1sale-in-transit-terms.html#ixzz2NP0va2U5


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