CST on As such Removals

[Gopal B]

Sir,

We cleared Rawmaterial as such to the other manufacturer in another state, shall we charge CST on this transaction or Not?

Pls. reply.

[Ganeshan Kalyani]

Yes you need to pay CST on interstate transaction .

[Suryanarayana Sathineni]

Dear Friend,

If it is a sale, then you need to pay CST.

[Sanjay Kumar]

CST is chargeable at the rate of 2℅ on this transaction against form C. Otherwise the Cost rates will be 12.5 ℅.

CST can be avoided only if your buyer is an exporter and gives you form H.

AI Summary

CST on interstate sales: generally payable; concessional rate against Form C, avoidable if buyer furnishes Form H.
Sale of raw material to a purchaser in another state is subject to CST as an interstate sale. Concessional charging is permitted where the buyer furnishes Form C; absent Form C the standard higher rate applies. CST may be avoided if the buyer is an exporter and provides Form H to the seller.