Kiosk Purchase

[PONNADA B K RAVIKUMAR]

Sir, we bought a kiosk (Fixed Asset) from the supplier in chennai to delivery to our Hyderabad Branch, so whether he will charges Cst or Vat, if so at What rate ? Pls guide me sir

AI Summary

CST Applies on Inter-State Kiosk Purchase: 2% with 'C' Form; Higher Rate Without. Not for Office Use. A query was raised regarding the tax implications for purchasing a kiosk from a supplier in Chennai for delivery to a branch in Hyderabad. The concern was whether VAT or CST should be applied and at what rate. A respondent clarified that the purchase is subject to CST as it is an inter-state transaction under Section 3 of the CST Act, 1956. If a 'C' Form is provided, the CST rate is 2%; otherwise, the higher rate between VAT or CST applies. The 'C' Form is not applicable for office use, only for trade or production purposes.