TaxTMI 
TaxTMI 
Dear Expert,
Please Confirm can we give C-form for the goods purchased that has been used for sample not for resale.
C-FORM ON GOODS PURCHASE FOR SAMPLE SALE
14 Sep 2016 
6 Replies 
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Concessional CST eligibility: goods purchased solely as samples not for resale do not qualify for Form C and face full tax.
Form C is limited to purchases intended for resale or specified productive uses such as raw materials, processing inputs, machinery, or use in telecommunications, mining, or power generation. Goods procured solely as samples not meant for resale do not qualify for the concessional rate under Form C; documentary evidence of sample use renders the concession inapplicable and the full tax rate must be applied. A conflicting practical view that Form C should be issued where a purchase is recorded was noted but does not override the statutory purpose-based limitation. (AI Summary)
Form C is limited to purchases intended for resale or specified productive uses such as raw materials, processing inputs, machinery, or use in telecommunications, mining, or power generation. Goods procured solely as samples not meant for resale do not qualify for the concessional rate under Form C; documentary evidence of sample use renders the concession inapplicable and the full tax rate must be applied. A conflicting practical view that Form C should be issued where a purchase is recorded was noted but does not override the statutory purpose-based limitation. (AI Summary)