We have sold goods under E-1 transaction. We have received E-1 Form from manufacturer. But we have not received C-Form for such transaction as party has been defaulter even payment is also unpaid. We have file case against such party.
Now, whether VAT department will charged full rate of tax in the absence of C-Form ? If its happen we will be financially hammered. What can we do ?
Seller Faces Full Tax Rate Without C-Form After Buyer's Default in E-1 Transaction; Documentary Evidence Advised A party sold goods under an E-1 transaction and received the E-1 Form from the manufacturer but not the C-Form, as the buyer defaulted on payment. They filed a case against the buyer and are concerned that the VAT department may charge the full tax rate without the C-Form, which would be financially damaging. One response suggests that the department is likely to charge the full rate, while another advises presenting documentary evidence to prove the transaction's nature in the absence of the C-Form. (AI Summary)
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