Sales within State but Buyer Outside State - Whether it would be Local Sale Or Central Sale ?

[PAWAN KUMAR SHARMA]

We have a supplier A inChennai and we have a manufacturing set up in Uttrakhand,

We have also a Job worker B in chennai and we want that our supplier A directly supplies material to Job Worker B.

In that case what would be the Sales Tax i.e. whether CST or VAT ?

Please advice.

AI Summary

Interstate sale: supply to in state job worker may be treated as interstate if contract contemplates movement out of state.
Classification of a supply to an in State job worker for an out of State principal hinges on whether the contract of sale occasions movement of goods out of the State. If the sale (expressly or impliedly) contemplates inter State movement, it is an interstate sale requiring central sales tax compliance and statutory forms; if delivery is effected within the State with no stipulation for movement, it is a local sale. Declaration of additional places of business may alter the treatment.