Rules and procedure in e1 transaction

Others 697 views 1 replies

Sirs,

I work (identify as MKM) for a trader in Bangalore. In 2012, we received a PO from L in Hyderabad, Andhrapradesh (now Telangana) for delivery of materials to A in Rajamundry, Andhrapradesh as E1 purchase on CST at 2% agsinst form "C". The procedure we understood was

1. L issues a purchase order to MKM for billing on L in Hyderabad and delivery to A in Rajamundry both in Andhrapradesh (before separation) having separate TIN.

2. MKM supplies the materials by billing on L and delivery to A. The invoice specifies both buyer and consignee.

3. L shall issue form "C" to MKM and MKM should issue form E1 to L.

4. Now L has sent the scanned copy of form "C" to MKM and asking us to submit E1 so that the original "C" form can be sent.

When MKM approaches the department for issue if E1 stationery, the department refuses saying this is not E1 transaction at all.

Please educate me whether this concept is right. If I am right under which section / rule I can demand form E1 stationery from the department. 

My email ID is srxmoorthy @ rediffmail.com

Regards

M.Krishnamoorthy

Replies (1)

Form E1 is applicable for 2nd and subsequent sales. In this case, since there is no 2nd sale at all (i.e. billed to L but delivered to A is a single transaction) there is no question of E1 form. It would suffice if L issues C form to MKM.


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register