TaxTMI 
TaxTMI 
TaxTMI 
Liability of local tax
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....iability of local tax<br> Query (Issue) Started By: - A RAVINDRA Dated:- 3-1-2009 Last Reply Date:- 30-1-2009 VAT + CST<br>Got 2 Replies<br>VAT / Sales Tax<br>X is a selling agent in Karnataka for Y ....
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....who is a manufacturer in Karnataka. X procures an order from Z in Tamilnadu and informs Y to raise the invoice in the name of X and mention consignee as Z for the order so procured. Y prepares an invo....
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....ice on X and consignee as Z and send the material directly to Z in tamilnadu attaching one more invoice raised by X on Z with 2% CST against form C. Y has not charged sales tax in his invoice to X (co....
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....nsignee as Z) The said transaction is done taking the benefit of section 8 & 6 of CST Act. I would like to know whether the said transaction is in order and as per section 8 of CST Act. Will there be ....
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....any liability of local tax to Y in the said transaction. Please clarify Reply By Surender Gupta: The Reply: It is a interstate sale and not subject to local sales tax / VAT. Reply By sunil gupta: The....
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.... Reply: As per my view transaction from Y to X will be a Local sale which is liable for Local VAT. The transaction between X & Z is an interstate sale.The benefit of sec. 8 & 6 of CST Act will not be....
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.... available.Please refer to decision in case of Indus Steel & Alloys Ltd Vs. State of Tamilnadu and others Reported at (2008) 18 VST 546 ( CSTAA)<br> Discussion Forum - Knowledge Sharing ....