We have a manufacturing unit under SEZ act. As we do only exports and no domestic sales, we don't have VAT registration. Is it complulsory to have VAT registration?
Registration of vat in case of export
Guest
SEZ Unit Must Register for VAT: Export Sales Count Toward Turnover Threshold, Per State VAT Provisions and SEZ Rules. A manufacturing unit operating under the SEZ Act, focused solely on exports, inquired about the necessity of VAT registration. Two responses clarified that VAT registration is mandatory. According to state VAT provisions, any dealer exceeding a specified turnover, including export sales, must register under the VAT Act. Additionally, SEZ Rules require 'Sales Tax Registration' to document sales or turnover locations, which is essential for compliance with procedures involving goods removal, import, and interstate transactions. (AI Summary)