Am purchasing a goods from andhra pradesh by paying cst ,if i am exporting to firm in tamilnadu can i get tax?

Question

i am trading in tamilnadu.am purchasing goods from andhrapradesh by paying central sale tax (cst) .can i get an tax exemption if i sold to another export concern which is in tanmilnadu ,basically they are exporting .

Answer 1

no,you can't

Answer 2

If you can identifies goods which are to be sold directly to exporter in Tamilnadu ,u can do the sale as e-1 transaction and no local sales tax applicable in tamilnadu will be apply to u ,this sale is also called "sale in transit"

to do this sale following condition should be fulfilled

1. book material from andhra pradesh to u r name

2. do not receive material from the transport agency and endorse document to firm to which u want to sell goods

if u have done like above than its called sale in transit and covered under cst and no loca;l tax are liable to be paid

other condition in this transaction are ur supplier will issue u E-1 form under cst act and u will issue c form to the supplier and you will also collect c form from the exporter to whom, u have sold the goods in tamilnadu

http://simpletaxindia.blogspot.com/

Answer 3

If you are not specifing that the consignment is for export no tax holiday is available. If any consigment is for export than it should be clarified at first point and you shall have to furnish all the necessary documents that the said consignment is shiped out of India. Than and than only the supplier can provide you tax-free material.