Dear Sir,
1) As we are selling cloths from karnataka to Delhi. We are located in karnataka now our buyer make a payment 3lakhs on our account. now he ask me to give bill for 2 lakhs.
Is any problem will occur in sales tax and income tax becuase of 1 lakh.. any idea what to do and how to solve this..?
2) If we recevie any payment on our business abnk account is we need to show compulsary sale bill?
Thanks for advance reply
If sale has happened outside the state CST needs to be levied on the bill. If sale has not happened you can show it as advance received.
Central Sales Tax (CST) is a tax on sales of goods levied by the Central Government of India. CST is applicable only in the case of inter-state sales and not on sales made within the state or import/export of sales.
An inter-state sale takes place when a sale or purchase:
Leads to movement of goods from one State to another State.
Is achieved by the transfer of documents of title while the goods are being moved from one State to another State.
CAclubindia
