Applicablility of VAT and CST

[Asked by Guest]

Dear Learned members,

This is with respect to the captioned subject.

In this regard, please take a note of the below mentioned facts of my case.

We have recently incorporated an LLP with our main business as manufacturing control panel and our place of business and registered office is in Gujarat. Further we have not started any business and very recently we have got our first order from a textile company based in Delhi.

Hence, order to manufacture control panel we require a few electronic items such as electric relays an other stuffs.

Hence I've identified two suppliers, one from Mumbai and another from Hyderabad to supply me the required items.

But both of them asking my CST or VAT(TIN no ) registration no in order to supply me the items.

Hence my query is that even though I've not crossed the threshold limit of 500000 lacs turnover for registration under VAT, do I still need to get registered under these taxes.

Plss help me because as of now nobody is ready to supply me any items.

AI Summary

Interstate tax registration: obtain VAT/CST registration or suppliers may deny concessional treatment absent Form C, forcing full tax.
Where interstate suppliers demand a VAT/CST identification number to accept Form C, absence of registration prevents issuance of Form C and may cause suppliers to treat sales as local and charge full tax; the purchaser may opt for voluntary registration to provide the required TIN/CST number and secure concessional interstate tax treatment.