CST treatment

[Sanjib Kothari]

Recently one of our customer in Jharkhand State issued C Form for the Q.E 30.9.2008 covering our Invoice for that qtr but deducted the CST amount while preparing the said C Form. We objected, but they replied that this is the standard practice there and advised by their Sales Tax Officer. What CST law says in this matter. Kindly advice.

[Surender Gupta]

First of all you should take a copy of advise of the sales tax officer to the customer in Jharkhand, this step would help to solve your problem.

AI Summary

C Form treatment questioned as buyer deducted CST; seller advised to obtain sales tax officer's written advice. A purchaser issued a C Form but deducted the CST while preparing it; the seller objected. The operative advice was to obtain the sales tax officer's written advice supplied to the purchaser and preserve that documentary evidence to resolve the compliance dispute regarding CST treatment.