Works contract doubt

Dear All

Our Client has registered out side tamilnadu and executing works contract in tamil nadu from procuring material from outside

suppose he is raising invoice of Rs.10,00,000 consisting rs.4 lakh material part and 6 lakh service part.we can prove that the material worth 4 lakh is procured from out side the state.but the problem is we can not say that the entire 6 lakh of service part is excluding material and if some material procured locally then is it mandatory to get registered here...can you please let me know the exact provision of CST act. 

Replies (3)

It is necessary to get registered locally to take the Input Tax credit of locally purchased materials.

THANKS MR.BHUPENDRA

BUT IF YOUR NOT PURCHASING ANYTHING LOCALLY IS IT NECESSARY TO GET REGISTER..

IS THERE ANY OTHER CRITERIA OTHER THAN TAKING INPUT TAX CREDIT.....

 

WAITING FOR MORE REPLY...

If you are not taking ITC and making sale under Section 3(a) or 3(b) of CSt act than it is not required to take VAT registration in that STATE.

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