country is full of criminal minds and connive to get GST credit by raising fake bills etc.
Same is the case with buyers who import goods on C form but issue the same and vanish in thin air thanks to rampant corruption.
Please suggest how such thugs are brought to justice.
Menu
What can be done for C form evaders
Replies (1)
| C Forms were applicable under the pre-GST Central Sales Tax (CST) regime. Since GST was implemented from 1st July 2017, C Forms are no longer applicable for post-GST transactions. However, for pre-GST outstanding C Forms, here is the position: 1. C Forms Still Relevant for Pre-GST Periods: If goods were sold on inter-state basis before July 2017 at concessional CST rate (2% against C Form), and the buyer has not issued C Forms, the seller faces demand for differential tax at full applicable VAT rate (usually 4-14.5%) plus interest and penalty. 2. Legal Remedy Against C Form Evaders: - File a civil suit for recovery of differential tax liability if the buyer promised to provide C Forms as per the sales contract. - Lodge a complaint with the commercial tax department of the buyer's state requesting enforcement action. - The selling state's VAT department may issue a demand — negotiate with buyer to settle. 3. Practical Steps: - Send formal legal notice to the buyer demanding C Forms or compensation for the differential tax liability. - Approach the respective State Commercial Tax Department (now largely merged with GST departments) to check if C Form issue is still possible through their portal. - Most states had portals for C Form issuance — check if the portal is still active for old period filings. 4. Note: With many state VAT departments winding down, resolution of old C Form disputes is time-sensitive. Pursue legally without delay. |
Recent Topics :
- TDS filing for the 1st quarter of TY 2026-27
- Login into Old Traces Portal
- Professional Income reporting in ITR-3
- Pf exemption in hand of spouse on demised of husba
- Missed deadline to revise ITR for a foreign asset
- Durga Puja 2026 Dates: Mahalaya, Shashthi to Vijay
- Indo-MIM IPO Allotment Date, Status Check and List
- GSTR 1 filed but GSTR 3 B no filed
- ITR FORM FILING REGARDS
- TDS JUSTIFICATION REPORT
Related Topics :
CAclubindia
