NON ISSUE OF C-FORMS

It's not necessary the goods purchased from interstate to be sold or consumed with in state.  You are paying the Tax and submiting the necessary form to support your Tax concession.  Ask him to show were its mentioned in the CST Act.  If that is the case, what is the use of E1 Form/ how the traders will do business? 

This is the reason we the business community insist to remove the Form-C or any other kind of concession Forms and make VAT Tax uniform across the country, unneccessary harresment & unwanted dependent to the department.

Dharmendra sir ur absolutely right

There is no necessity that the goods purchased against C-Form must be sold within the State only. It can be sold even to other states. There is no case for issue of E-1 form which is the issue only if the Second sale occurs when the goods are in transit. In the pertinent case, the issue is a second independent Interstate sale.

The issuing authority has to issue C-Form and he cannot refuse to issue them, but he is empowered to penalise if there is misuse.