TaxTMI 
TaxTMI 
Refer-Issue ID = 1220 When Despatch of material within the state of Gujarat is a result of resale by the Chennai (Tamilnadu)buyer and the chennai buyer do not have any business place registered in the state of Gujarat,what is the Sales Tax to be Chargeable(Whether CST or G-Vat under Tax Invoice)
Chargiability of CST
30 May 2009 
3 Replies 
1387 Views Asked by
Intra-state supply tax treatment: G-VAT applies where delivery occurs within state, CST not chargeable against Form C.
Where delivery of goods is taken from the seller's Gujarat factory and there is no inter-state movement, the sale is governed by G-VAT rather than CST. Charging CST against Form C for such in-state deliveries is not appropriate; the assessing officer will treat the transaction as a local sale. A buyer without Gujarat registration must report the transaction under the 'purchase out of state and sell out of state' column and must obtain G-VAT registration if local supply exceeds exemption limits. (AI Summary)
Where delivery of goods is taken from the seller's Gujarat factory and there is no inter-state movement, the sale is governed by G-VAT rather than CST. Charging CST against Form C for such in-state deliveries is not appropriate; the assessing officer will treat the transaction as a local sale. A buyer without Gujarat registration must report the transaction under the 'purchase out of state and sell out of state' column and must obtain G-VAT registration if local supply exceeds exemption limits. (AI Summary)