Delivery address is different from bayer address

[mukesh pareek]

What is the sales tax procedure in below scenario...... is there any C form or anything involved in this transaction ?

Supplier from - Chennai

Bayer from - Maharastra

Delivery at - Gujarat

Dear experts please clarify..

[YAGAY andSUN]

It is bill to ship to transaction which falls under Section 3 (a) of CST Act, 1956 and comes under purview of C form & E-I form.

[Ganeshan Kalyani]

If the purchaser in Maharashtra has another factory at Gujarat and requests the supplier to bill at Maharashtra and deliver the goods at his Gujarat facory then it would be bill to ship to. But if by purchasing the material the purchaser of Maharashtra before taking delivery sells it by endorsing the document to independent customer then it is sale in transit.

[YAGAY andSUN]

If your query pertains to selling of goods in transit through endorsement of documents, then, such transaction shall fall under Section 3(b) of the CST Act, 1956 read with Section 6(s) ibid.

AI Summary

Interstate sale classification: bill-to-ship-to requires C form and E-I form, endorsement converts to sale-in-transit treatment A bill-to-ship-to transaction-where a purchaser billed in one state directs delivery to another state-qualifies as an interstate sale under Section 3(a) and typically requires a C form and an E-I form. If, before delivery, the purchaser endorses the documents to an independent buyer, the transaction is treated as a sale in transit under Section 3(b) and related provisions governing endorsement-based transfers.