Dear Sir,
We are the manufacturer of Paints, We receives order from Foreign buyer & accordingly we supply the paints to the Foreign going Vessels arriving at respective Indian port. This is the Onboard supply to Vessel.
On Invoice we are Mentioning the Name of foreign buyer - as from whom the order is received and Name of consignee - as the Name of Vessel and address of delivery - the Name of Port.
Can you please help us to know the applicability of Sales tax in this case?.
Paint Supplies to Foreign Vessels at Indian Ports Exempt from Sales Tax if Paid in Foreign Currency under TNVAT Act A manufacturer of paints inquires about the applicability of sales tax for supplies made to foreign vessels at Indian ports. The consensus among respondents is that such transactions are treated as exports, exempting them from sales tax, CST, or VAT, provided the payment is received in foreign currency. A respondent from Chennai seeks clarification on the relevant section under the TNVAT Act, indicating the importance of legal specifics for compliance. The discussion highlights the need for precise legal references to ensure adherence to tax regulations in international transactions. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
