Amendment to CST Act

[saket s]

Dear Experts,

This is in respect to amendment to CST Act vide the Taxation Act, 2017.

Consequent to modification of CST Act, mainly the definition of ‘Goods’ (restricting it to only 5 products which are out of GST due to upcoming GST law), there will be impact on Oil Industry as well as Dealers who are purchasing Goods from Oil Companies. They may not be able to obtain & provide C form to Oil companies, for example, Power Generation Companies, whether they will be able to issue C forms to Oil Companies for their purchase of HSD (considering section 8 (3) and definition of Dealer & Goods). If yes, then whether they would be required to continue with CST registration & Returns for declaring their inter-state purchase against C form for Non-GST Goods.

Kindly share your opinion.

Saket

AI Summary

Clarification Sought on CST Act Amendment: Impact on Oil Industry and C Form Issuance for Non-GST Goods A participant raised a query regarding the amendment to the CST Act through the Taxation Act, 2017, focusing on the definition of 'Goods' and its impact on the oil industry and dealers. The concern is whether companies, like power generation firms, can issue C forms for purchasing non-GST goods like HSD from oil companies, and if CST registration and returns are still required. The response indicated a lack of clarity in the GST law but suggested that current taxation on non-GST products like oil will continue, and representations could be made to allow procurement against forms.