ISSUE OF H FORM

[Guest]

Dear Sir,

Incase of export, Please clarify why we cannot issue Form H to sub vendors (i.e. Our vendors vendor).

Regards,

AI Summary

Form H Exemption Only for Penultimate Sales, Not Sub-Vendors; Sub-Vendors' Sales Subject to VAT. A query was raised regarding the issuance of Form H to sub-vendors in the context of exports. The first response clarified that Form H exemptions apply only to penultimate sales or purchases, not to earlier transactions. The second response added that Form H is issued by exporters to manufacturers for sales tax or VAT exemption on goods intended for export. Sub-vendors' sales are considered local and subject to VAT, making them ineligible for Form H.