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others 432 views 1 replies

plz let me know the procedure involved in E1 & E2 transactions under CST Act

Replies (1)

 

    E1 Sales:
    
In terms of Sec 3(b) read with Sec 6(2) of the CST Act, a subsequent (commonly known as E1) sales effected by a dealer by transfer of documents of title to the goods during their movement from one state to another to the Government or to a registered dealer is exempt under the CST Act.
 


In order to claim the exemption granted by section 6(2) of the Act:
 
  • The sale must be a second or subsequent sale in the course of inters state trade;
 
  • The sale must be effected by transfer of documents of title during the movement of the goods from one State to another;
 
  • The sale must be of goods of the descripttion referred to in section 8(3) of the Act;
 
  • The sale must be to a registered dealer; and
 
  • Form E1 or E2 as the case may be, submitted to the assessing authority;
 
 


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