C Form Purchaes where Output is exempted

[RAMA KRISHNA KNVS]

Dear Sir/Madame

Our company is into manufacturing of exempted goods. but purhcases packing material and other consumables from other states. can we make CST purchases against C-form??? Heard that C-forms can be issued only when output good is taxable.  Plz clarify

Rama krishna

[Vijay Chitte]

Yes, you can purchase against C-form, there is no binding, But you can't eligible for ITC.

[YAGAY andSUN]

Yes, you can procure the goods, inputs, components and Raw material against Form C provided such items are well incorporated in your CST Registration Certrificate.

[RAMA KRISHNA KNVS]

Dear Experts

 

thanks for the reply.

Can we issue C form for purchase of plant and machinery and related spare parts.????

 

ramakrishna

AI Summary

Interstate purchase under C-form allowed for manufacturers of exempt goods but not eligible for input tax credit. Purchases from other States may be made against Form C even if the purchaser's output is exempt, but procurement under Form C does not make the purchaser eligible for input tax credit; additionally, goods procured under Form C should be within the scope of the purchaser's CST registration certificate, and queries remain about application to plant, machinery and spare parts.