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Salesintransitmeaning,procedure,caseLaws&Provisions
ArticleID17001|PostedInGST|124Comments
Q.1 Please explain the scheme of in transit sale
coveredbysection6(2)ofCSTAct,1956?
Ans.:Section3(a)ofCSTAct,1956definestheinterstate
sale/purchase transaction. Section 3(b) defines the
interstatesaleeffectedbytransferofdocumentsoftitleto
goods.WhenthegoodsareinmovementfromoneStateto
other.Thewholesection3readsasunder:
3.Whenisasaleorpurchaseofgoodssaidtotakeplace
inthecourseofinterstatetradeorcommerceAsaleor,
purchase of goods shall be deemed to take place in the
course of interstate trade or commerce if the sale or
purchase
a. occasion the movement of goods from one State to
anotheror

b. is effected by a transfer of documents of title to the goods during their movement from one State to
another
Section6(2)ofCSTActgivesexemptiontosubsequentinterstatesaleeffectedbytransferofdocumentsoftitle
togoodswhenthegoodsareinmovementfromonestatetoanother.Howeversuchexemptiontosubsequent
interstatesaleissubjecttoproductionofFormEI,asobtainedfrompriorvendorandCformfrombuyer.
A simple example can be that, suppose A of Mumbai has sold goods to B of Ahmedabad. The goods are
dispatched by lorry and L.R. is taken out by A (Mumbai) where in A is consignor and B (Ahmedabad) is
consignee.Ifbeforetakingdeliveryfromtransporter,BdecidestosellhisgoodstoCofM.P.,hecansimply
endorsetheL.R.innameofCandthesalewillbecomplete.Thisisthesecondorsubsequentinterstatesalein
thecourseofsamemovement.InthiscaseAmusthavecharged4%CSTinhisbill.Beingasecondinterstate
sale effected by B to C, B is equally liable to pay CST on above transaction. However the intention of
Government is not to levy multiple taxes on sale taking place in one course of movement. Therefore the
subsequentsaleisgivenexemption.Howeveritissubjecttoproductionofgivenforms.Inaboveexample,the
salebyBtoCwillbeexemptifBproducesbeforehisassessingauthorityFormEIissuedbyAofMumbaiand
FormCissuedbyCofM.P.
In light of above it is clear that the sale effected by transfer of documents of title to goods is eligible for
exemptionu/s.6(2).TheseexemptedsalesarealsoreferredtoasSaleintransit.
Q.2 What is the procedure for transfer of documents of title to goods and the relevant judgments
therefore.Whetherpredeterminedsalesarecoveredbyabovecategoryofintransitsale?
Ans.: The sale by transfer of documents of title to goods has been interpreted by judiciary in many cases,
someofthemarecitedsubsequentlyforreference.
Normally the sale is effected by endorsement of transport documents. On the backside of the document like,
L.R.thevendorcanputhissignatureandtransferthedocumentstobuyer.AsheldbyBombayHighCourtin
caseofChhaganlalSavchand(62ITR133)thetransferofdocumentscanbeeffectedevenbydelivery.
It is also held by judiciary that transfer of documents can take place even by instruction. Therefore it is not
necessarythatthesalebytransferofdocumentstakesplacewhenthedocumentisfirsttakenoutbetweenfirst
sellerandhisbuyerandthentransferredbythebuyertohisbuyer.Thebuyeroffirstsellercangiveinstruction
to dispatch the goods directly to his customer. If such instructions are given and accordingly the goods are
dispatchedtothirdparty(i.e.,buyersbuyer)itisbecauseoftransfereffectedbythebuyeroffirstseller.The
transfertakesplacewhilebookingthegoodsintransportandthisisalsoatransferduringcourseofmovement.
Thisisknownasnotionalorconstructivetransfer.Sincethistransferistakingplaceduringcourseofmovement
fromoneStatetootheritiseligibleforexemptionu/s.6(2).Insuchcasethefirstsellerisconsignorandthe
buyersbuyerisconsignee.Howeverthecommercialbillswillbebyfirstsellertohisbuyerandthenbythe
firstbuyertohisbuyer.Insuchacasetoenablethefirstbuyertoclaimexemption,EIformistobeissuedby
firstsellertosuchfirstbuyer.
It will be appreciated that even if the sale is predetermined by your buyer to his buyer it does not make any
difference.Onthecontraryitmakesthecasestronginthesensethatthereisrealtransferofdocumentsatthe
loading station itself and any possibility of make believe transfer gets avoided. Therefore predetermined sale
cannotbeanissue.Thesamewillbeclearfromthejudgmentgivenbelow.
Theabovelegalpositionisclear,amongstothers,fromfollowingjudgments.
M/s. State of Gujarat vs. Haridas Mulji Thakker (84 STC 317)(Guj): In this case the facts are that the
GujaratdealerreceivedorderfromanotherdealerinGujarat.Forsupplyingthesaidgoods,thevendordealerin
GujaratplacedorderonMaharashtradealerandinstructedtosendthegoodsdirectlytotheGujaratpurchasing
party. Gujarat High Court held that the sale by Maharashtra dealer to Gujarat vendor dealer is first interstate
saleandtheonebyGujaratvendordealertoGujaratpurchasingdealerissecondinterstatesale.GujaratHigh

Courtalsoheldthatthesecondinterstatesaleisexemptu/s.6(2)beingeffectedbytransferofdocumentsoftitle
togoods.InthiscasethoughtherewasnophysicaltransferofL.R.etc.GujaratHighCourtheldthatthereis
constructive transfer by instruction and hence duly covered by section 6(2). This judgment duly covers both
issues,thatthereisnoneedforphysicaltransferandalsothathavingpredeterminedpartiesdoesnotaffectthe
claim.
M/s. Fatechand Chaturbhujdas vs. State of Maharashtra (S.A.894 of 1990 dated.1281991) decided by
MaharashtraSalesTaxTribunal:Inthiscasethelocalpartypurchasedgoodsfromotherlocalpartyand
directed the same to be despatched to outside State party. Even though local party was shown as consignor,
taking the view that while placing order there is term for outside place dispatches, Maharashtra Sales Tax
Tribunalheldthatthesalebetweentwolocalpartiesisfirstinterstatesaleandthesalebylocalpartytooutside
partyissubsequentinterstatesale,dulyexemptu/s.6(2).
Inshortevenifthereispredeterminedsale,thereisnoadverseeffectonthesaletobeclaimedu/s.6(2).Onthe
other hand, in light of above judgments, the claim gets more authentic. The transfer of property to ultimate
purchaser (consignee) gets synchronized at the time of booking the goods with the carrier and hence the
subsequentsalestakeplacebytransferofdocumentsoftitletogoodsasheldbyHighCourtinabovecaseof84
STC317.Theclaimofexemptionistobeallowedunderabovecircumstancessubjecttoproductionofrequired
forms.
M/s.DuventFansP.Ltd.vs.StateofTamilNadu(113STC431)(Mad.):Localdealerpurchasedgoods
from other local dealer and directed to send them to his purchasers place in other State. Madras High Court
heldthatthefirsttransactionisfirstinterstatesaleandthesecondsaleisalsosubsequentinterstatesaleexempt
u/s.6(2)ofCSTAct.Theabovejudgmentisdirectlyonissueandhencewillgovernthefield.
Infacttherearemanyjudgmentsonthisissue.Howeversincethelegalpositionabouttransferofdocumentsas
wellaspredeterminedsaleisclearfromabovejudgments,nofurthercitationsaregivenhereforsakeofbrevity.
Thusthesaleintransitcanbeeffectedbyanyofabovemodes.
Authoredby:C.B.Thakar,Advocate

Tags:section3,section6

124thoughtsonSalesintransitmeaning,procedure,caseLaws&Provisions

1. monissays:
09/22/2015at10:50PM
Ifipay12.5%cst
canisellgoodstoanypartofIndia.
Anddoesthebuyerrequiresvatregistrationonit?
Reply
2. TomendraSinghJaitwarsays:
09/22/2015at1:56PM
WearedistributorofChhattisgarhstate,WehavepurchasedgoodsfrommaharastraStateandsale(ship
to)todirectlyinourcustomerlocatedatmaharastrastate.Whatisthebestbillingmovementofthat
transaction
Reply
3. AnandTiwarisays:
07/29/2015at4:26PM
Sir,
MyQuestionisthatifassumeimadealer&gottheorderfromotherstate(say:AP)
ipurchasedthegoodsfrommanufacturerofthesamestateibelong&instructedhimtodispatchthe
goodsonbehalfofmeSay(TheConsignorisM/s.Jindal(india)Ltd.BuyerIsme&theConsigneeis
otherstateParty)ThemanufacturerchargedCST@2%intheInvoiceagainstCForm.So,my
questionisthatwhatwillbethetreatmentofPurchaseinmybooks.
Reply
4. Abhinavsays:
07/18/2015at2:40PM
Sir,
WhatisthedifficultiesinU.P.CommercialTaxDept.ifwegetpurchasechallanincurrentmonthbut
invoicereceivednextmonth.isthereanyrulesindept.forpurchaseagt.challanshouldbesamemonthin
whichinvoicegenerate.Plshelpme.
ThankYou,
Regards
Abhinav(Agra)
Reply
5. Amolsays:
04/17/2015at12:20PM
WeareaserviceproviderandwehavereceivedaprojectfromaclientwhoisregisteredinaSpecial
EconomyZone,justwanttoknowthedocumentationprocedure(requireddocuments)ifwearebuying
thegoodsfromourvendorandsendingthegoodsdirectlytohimonourbehalf
Reply
6. GopalDwivedisays:
03/28/2015at9:15PM
Sir,
Imadealerofbackhoeloader(JCBMachine)fromkanpurU.P.andwehavepurchaseitfromRajasthan

andwantsoldapartyofLalitpurJHansiU.P.soE1saleappliedornotifappliedsowhatistheprocedure
Plz.help
Reply
7. Tamilarasansays:
02/24/2015at10:28AM
OurcustomerAinGurgaonHaryanaisaskingustoshipthepartstoBinTamilnadu.Heartheissuewas
customerArequestustobilltoGurgaonandshiptoChennai.BwilldotheassemblyandshiptoA.All
ourpaymentwillbesettledbyA.InthatcasewhetherwewillmaketheinvoicewithVatorCST.
Reply
8. Harisays:
02/09/2015at5:22PM
Sir
Pleaseguideonmyquery.Ifacustomerwhoisreg.withGujaratVATimportsmaterialtoCochinport
andsellsitdirectlytoapartyinCoimbatore,howdoesphysicalmovementofgoodstakesplace?
CantheGujaratpartymovethegoodsonlocalCSTInvoicefromCochintoCoimbatoredirectlyorwill
therebeanyotherdocumentationrequirements,pleaseguide?
Regards
Hari
Reply
9. imrankhansays:
02/02/2015at2:51PM
DearSir,
couldyoupleasesuggestanyonewhatwillbethetaxchargeonbillingaddressislocalandshipping
addressiscentral?mostofcompanydoingtransactionasfollow:registrationinDelhiandbillingaddress
isinDelhiandshippingaddressinHaryana(otherstate)withoutform.
kindlysharetheyourvaluablesuggestionandnotificationifanyonehave?
Reply
1. saurabhkumarsinghsays:
11/11/2015at2:43AM
IamsellinggoodsinDelhibymyregisteredshop.MybuyerpartyisinNoida(UP).
1.MyPartyofNoidawantstobuymaterialfromusanddirectlysendtoitspartyatPatna(Bihar)..
i.e.IhavetosendmaterialdirectlyfromDelhitoPatnabyTransport.
2.MyBuyerPartywillmakepaymentdirectlytomeandshallcollectitspaymentfrompartyof
Patna.
3.Whatistheprocedureoftransitofmaterial.
4.CanweissueaninvoiceinthebuyernameofpartyofNoidaandsendmaterialdirectlytoparty
ofPatna?

5.IsthereneedofissueofanykindofSalesandservicetax/salesintransitmeaningprocedure
caselawsandlegal?provisions.htreplytocom=1515877#respond
Reply
10. K.RAJUsays:
01/27/2015at4:00PM
pleaseclarifythefollowingpoints
STEELMATERIALSDISPATCHEDTHROUGHRAILWAYWAGONFROMMANUFACTURER
(SATISGAR),BUYERMUMBAI,CONSIGNEEINCHENNAI.NOWTHECONSIGNEEWANTS
THEMATERIALSTOBESTOREDATCHENNAIFORSOMETIMESINCETHEYHAVESOME
INTERNALPROBLEMSINTHEIRFACTORY.ISITALLOWEDTOSTORETHISINTHIRD
PARTYGODOWN?ANYPROCEDURETOBEADOPTEDFORTHATPLSCONFIRMBACK.
Reply
11. MANOJSHAHsays:
01/24/2015at4:06PM
WearemanufacturerinGandhinagar.OurbuyerpartyisinVaranasi.
1.OurPartyofVaranasiwantstobuymaterialfromusanddirectlysendtoitspartyatHyderabad..i.e.
wehavetosendmaterialdirectlyfromGandhinagartoHydrabadbyTransport.
2.OurBuyerPartywillmakepaymentdirectlytousandshallcollectitspaymentfrompartyof
Hydrabad.
3.Whatistheprocedureoftransitofmaterial.
4.CanweissueaninvoiceinthebuyernameofpartyofVaranasiandsendmaterialdirectlytopartyof
Hydrabad?
5.IsthereneedofissueofanykindofSalesTaxForm?
Reply
12. taxbaniyasays:
12/22/2014at4:30PM
PleaseconfirmifwehavevatnumberinMaharashtraandpurchasethegoodsfromGujarat.
ActualmovementofgoodsisfromHyderabadtoTamilNadu,IsweneedtotakeCformfromTamil
NadupartyandgivethecformtoGujaratparty.
wecansavetheCformbygivingtheEforms.
Reply
13. Mandarsays:
12/22/2014at3:04PM
CanwemakepurchasesfrommultiplesuppliersunderoneSaleinTransitinvoice.
Reply
14. KHALIDsays:
12/15/2014at4:00AM
Ihaveaquery.IamfromAllahabad(A).Ihavetodelivercoaltomycustomer@ghaziabad(G)(beingin

thesamestate).Iwillbepurchasingitfromgujaratport(G)anddirectlydeliveringittoghaziabad
customerbyaskingmyGujaratsellertogettheLRendorsedbymetodeliverittoghaziabad
customer..myquestionsare
1whoseform38andformCwillbeutilizedwhilepurchasingthecoalfromGujaratcustomer.?and
whosenamewillbefilledinthecolumnofconsigneeandconsignor??
2ghaziabadcustomerisreadytogivehisform38andformC.Canhisformsbeutilized??andifyesthen
how?
3whatwillbethebillingprocesswhilegeneratingthebillforghaziabadcustomer,Imeanhowmuchtax
willbecharged4%or2%??
4exemptionisthereonsecondsalebutdoesthatmeanthatIshouldntchargeanytaxtocustomerof
ghaziabadorIwillbecharginghiminthebillandhecanlaterapplyforexemption.?
5whenandwhereisformE1utilized??
6whenandwhereisformE2utilized??
7isthereanyprocessintransitsalewhereform38andformcofthefinalbuyerbeutilized??
8howmuchtaxwillIbechargedbytheGujaratsellerwhenhewillbillmeforthistransitsale?
Reply
15. ASHOKsays:
12/09/2014at4:11PM
Wehavearegisteredofficeinkochi,andweimportgoodsfromchina.Goodsimportedbyairtosave
time,needtobebroughttodelhidependingonthelocationofthecustomer.Howwillibeabletobillthe
customersindelhiorclosetodelhi,withmysalestaxregistrationbeinginkochi.Byrulethematerial
needstobetransportedtokochifirstandbethenbilledtodelhicustomer.Butinthiscase,the
transportationcostandthetimelagcanbesavedificanbillthematerialdirectlytothecustomerfrom
delhiairportitself.pleasegivemeyouadvice.
Reply
16. Anjeshpatelsays:
12/03/2014at6:29PM
whatispredeterminesale,
Reply
17. KALESHsays:
11/22/2014at5:18PM
IwanttodeliveraconsignmentfromOrissatoKeralaforownusewhatistheformusedbyorissagovt.
andwhataretherules.
Reply
18. Biravsays:
11/13/2014at7:16PM
Dearsir,
.myquestionisregardingdirecttransportationofmaterialfromonestatetoanotheronmyinvoiwce.Fir
ex.IreceivedorderfromXinHyderabadandIpurchasedmaterialfromYinpunjabthenisitpossible
formetoissuematerialdirectlyfromPunjabtoXinHyderabadonourinvoice(itmeansinvoicefrom
Gujarat)??Plsguidemehowtomakethistransaction??

Reply
19. venkateshsays:
11/12/2014at6:48AM
hisir
canwedoatransitsaleagainstcform
aswearelocatedintelanganastate.wehavetakenanorderfromacontractorsituatedinmumbai.andwe
havetobilltomumbaianddeliverytoandrapradeshstatewherethesiteislocated.
isitpossible.
Reply
20. PaulDavidsonsays:
11/02/2014at5:03AM
HeyAnurag,youcancheckthissitePDFfillerwhereyoucanfindfewtemplatesforcommercialinvoice.
ThissitePDFfilleralsohassometutorialsonhowtofillitoutandafewrelatedformsthatyoumightfind
useful.HereisalinktoacommercialinvoicethatIwasabletousehttp://goo.gl/lnT8ve.
Reply
21. gunashekarsays:
10/25/2014at2:34PM
anyonecangiveclarificationonpaymentofVATonimportedgoods.(isvatapplicableonBasicvalueof
thematerialorincludingdutyandothercharges?
Reply
22. ARSHADsays:
10/21/2014at7:03PM
WEARECALCUTTABASEDIMPORTER.IMPORTEDFABRICFROMCHINATOCHENNAI
PORTBYSEA.NOWWEWANTTOBRINGTHOSEGOODSINCALCUTTABYROAD
TRANSPORT.
PLSLETMEKNOWISWAYBILLREQUIREDFORCARRYINGGOODSFROMCHENNAITO
CALCUTTAORTRANSITPASSISREQUIRED.ALSOLETMEKNOWWHOWILLAMKETHE
TRANSITPASS.
Reply
23. samsays:
10/17/2014at8:03AM
IwanttosendgoodsfrommumbaitoUDAIPURwhereasbuyerisinDelhi,roadpermitfromconsinee
inUDAIPURisissuedinfavorofpartyinDelhi,isitpossibletosendgoodsdirectlyfromMumbaito
UDAIPURonthisroadpermit
Reply
24. DushyantSharmasays:
10/16/2014at4:16PM
sir,
wewanttoknowthathowshouldwemanegeofbuybackdocumentandtaxesprocedure.

Rds,
DushyantSharma
Reply
25. ctmrajusays:
10/14/2014at8:46PM
IamunabletoSubmittheExciseReturninDealer.
IraisedonExciseInvoiceandafter5daysthematerialhasbeenrejectedandreturnedbytheparty.Then
Iraisedonemoreinvoicetoanotherparty.NowpleaseguidemehowshowinDealerExciseReturn
whichtheInvoicehasbeenretuned.
Thanks
CTM
Reply
26. taufeeqhussainsays:
10/10/2014at2:37PM
Sir,
IwanttosendthegoodsfromHyderabadtoTamilnadustateforwhichonthewayofficialsareaskingfor
TP(transitpass)forwhichidontunderstandwhattodoandfromwhereihavetogetTP.plsadviceme
thankingyou
regards
mohdtaufeeqhussain
Reply
27. taufeeqhussainsays:
10/10/2014at2:20PM
Sir,
iwanttosendthegoodstotamilnadustateforwhichonthewayofficialsareaskingforTPtransitpass
forwhichidontunderstandwhattodoandfromwhereihavetogetTP.plsadviceme
thankingyou
regards
mohdtaufeeqhussain
Reply
28. S.KHALIDAsays:
10/03/2014at5:00PM
DEARSIR,
ASIAMWORKINGINAREGISTEREDDEALERSHIPCOMPANYINCHENNAI,ANDIHAVE
DOUBTREGARDINGZERORATEDSALES,IFWESELLAMATERIALTOTHECLIENT
WHOSEBUSINESSISINASEZZONEWITHINTAMILNADU,ISTHATWEHAVETO
COLLECTFORMIFROMTHATCLIENT?
BECAUSEONEOFMYCLIENTSAYSTHATITISWITHINTNSO,SEZDOCUMENTSIS
ENOUGHIFITISINTERSTATEONLYFORMIISREQUIRED,ISTHATTRUE,PLSHELPME
INTHISREGARD.
Reply
29. NMurthysays:

09/21/2014at5:53PM
iswaybillrequiredtosupplymaterialtocompanyinSEZ?
Reply
30. ManishJainsays:
08/22/2014at9:44AM
DearSir,
WeareregistereddealerinMumbai,
Wehaveimportedthegoodsfromchinatovissakapatnamport(A.P),
1.wehaveorderforsupplysameimportedgoodstoRanchi(Jharkhand)
2.WedirectlywanttodispatchthegoodsfromVizakporttoRanchitosavetransportationcost,
howcanwemakethebillinganddispatches,
KindlyAdvice,
Regards
Reply
31. Bhavinsays:
08/21/2014at5:20PM
WeareadealerinAhmedabad.WearebuyinggoodsfromourmanufacturerinCoimbatorewhichare
despatchedmostlyonRRsalebasis&wegetonlytheLRcopy.For1caseourcustomerinAhmedabad
hastoexportthesegoods.Thegoodsarebeingdespatchedfromourmanufacturertotheendcustomeron
RRsalebasis(Orderisinourname&invoicewillbeours).PlsadvisewhetherEndcustomerhasto
issueHformdirectlyinthemanufacturersnameforCSTtobenilorelsecustomerissuesHforminour
favour&weissueHformtothemanufacturer.Ifitisdoneby1stcaseieEndcustomerissuesHformin
favourofManufacturerthanwhatwillbetheeffectonourSalesTax.
Reply
32. gulshankumarsays:
08/06/2014at1:51PM
adelearisregisteredinvatinnewdelhiimportfromchinagoodsdeleviredatchenniportandasitis
exporttoenglandfromchenniport?itisexportortranistsalesrequiredanyformsordocumentspl.
confirm.
Reply
33. Kirtisays:
06/30/2014at11:36AM
MyconsigneehasnotyetreceivedCST,butIvedispatchedthematerialfromMaharashtratoWest
Bengal.
WhatcanbedoneifnoCSTisreceivedbythetimematerialreachesWBborder.
Plssuggestawayout.
Reply
34. LavnishJainsays:
05/29/2014at10:55AM

SirAofpunjabispurchasinggoodsfromBmanufacturerinKarnatkaagainst2%cstformc.Goodsare
tobesoldtoCofTamilnaduChennai.
Kindlyguidemetheprocedure.E1FORMhastobeobtainedpriortodispatch?WillE1formberequired
atkarnatkaborder?InvoicemadebyAtoCwillhavetoshowanytaxininvoice?Whatwillhappento
theprofitofA?Willitnotattractanytax?WillCcometoknowaboutthegoodsbeingpurchasedfromB
andviceversa?WhentohandoverinvoiceofAtothetransporter?CsnEndorsedLRbekeptonlyupto
karnatkaborderandoncegoodsreachTamilnadutransportercanattachfreshLRwithnomentionof
karnatkasothatsecrecyofbuyersellercanbemaintained?PleasereplyasIamanticipatingtransaction
on2ndJune,2014.Regards.
Reply
35. BhupendraShahsays:
05/08/2014at2:50PM
DearSir,
ThereisadealerinKarnatakaNamelyAbuyingthegoodsfromGujaratmanufacturerNamelyBand
wouldliketosupplywithinGujarattoabuyerNamelyC.Howthedocumenthastomake.Doesit
attractVAT.AndifyescanCtakeacreditofVAT.PleasealsoletmeknowhowtheBhasto
preparehisInvoice.
Thanksandregards,
BhupendraShah
Reply
36. Neetasays:
03/03/2014at12:34PM
DealerregisterinstateofMaharashtra,itpurchasegoodsfromdealerinGujarat&saleitinmaharashtra
throughsaleintransit&dealeringujratdirectlydelivergoodstobuyer.thereafterweperformerectionon
buyersplace.willitliabletotax?
Reply
37. AnilKumarjainsays:
10/18/2013at4:48PM
DearSir,WearetradinginElectricalItems,&salestoconstructioncointrasitsalebywayofdirect
deliveryfrommanufacturertoconstuctioncoandbillingfrommanufacturebuyerisourname&
consigneeisconstructioncoandGR/Biltyisinthenameofconstructionco.WetakenCformfrom
constructionco&againweissuecformtomfr.&receiveE1formfromMfr.Pleaseadvicethatthis
transactioniswrongorrightasper6(2)ofCSTact.1956.Ifitiswronghowwecandoitasperlaw.
Reply
38. nareshtalansays:
10/13/2013at11:31AM
DearsiriamatraderbelongttoHaryanaiwillbuygoodsinGujaratandgoodswillconsumeinutter
pradesh.utarpardeshgivemecformandexcisedutyonly.uttarpradeshwantstoexcisemodwat.buti
havenoexciseregistration..iwantuttarpardeshusegujratexciseregistration.pltellmewhichpaper
documentwillineedinthistransitsalein3state.
Reply
39. Kamalsays:
10/04/2013at3:26PM

DearSir,
WehavepurchasedtowelsfromTridentmillsagainstHformasintheirstatetowelsaretaxableand
charged6.05%andinmumbaiwehavesoldtootherpartyinsalesagainstHformastowelshavenotax
inmaharashtra.PleasereplyhowcanwegiveHformtoTridentmillsaswearesellinglocallytoour
partyasthirdpartywillgiveHformtousinourname
Reply
40. BrijMohansays:
09/27/2013at4:10PM
WehaveacontractofUHVBNonturnkeybasiswepurhcaseitrastateandsupplysaleintransitto
UHBVNkindlyconsultitislegale.
Reply
41. Kishorbhaisays:
09/03/2013at11:32AM
Iamadelearofelectricalgoods,ihavenoexciseregistration,mycustomer
requiredexcisegatepass,thanourmanufacturecompanysendmaterialincustomer
nameisournameandconsigneenameourpartysname.theyhavesendmaterialto
salein2%CST&iamalsosalein2%CST,itisSalesIntransittransection.
pleasegiveadvise.
thanks
Reply
42. H.N.Guptasays:
08/03/2013at1:31PM
DearSir/Madam,
MycompanyisaManufacturingcompanyexisableunitregisteredinGhaziabad,ihaveasupplierin
chennaiandmyclientisalsoinchennai.
sir,
wewanttotoreducetransportcost,sowillingtosendthatmaterial,directfrommysuppliertomyclient,
isitpossible?ifyes,thenhowtheinvoicingandFORMworkwillbedone?andwhatwillbeabouttaxes
andduties?
Pleasesuggestthebestasearliest.
thanks
H.N.Gupta
Reply
43. Kushalsays:
07/23/2013at5:50PM
Sir,CanyouguidemeforthefollowingtransactionManufacturerA(Inexcise)basedinHaryanasells
goodstotraderB(regd.underExciseinMUMBAi)TraderBsellsthegoodsintransittoenduser
manufacturerCinpunjab.Now,thegoodsintransitcannotbedirectlydivertedtopunjabuntilland
unlesstheyarriveinmaharashtraandthentheyhavetoberebookedthroughanothertransporttoPunjab.
Also,CinpunjabshouldgetCenvatcreditfromOriginalManufacturerA.

Reply
44. Nikhilathreyasays:
07/07/2013at3:12AM
Iambasedinkarnatakaandhavereceivedanorderfrommyclient(basedinap)forsupplyof
materialswhichIwillgetfromraipur.Myvlientwantsthematerialsforhisworksiteinkarnataka.Socan
Ibillhimsaleintransitthoughthematerialisgoinvtobeunloadedinkarnataka?
Reply
45. srinivassays:
06/03/2013at12:09PM
IImportthegoodsfromchinaandireceivedgoodschennaiportIhaveanorderfromkarnatakastate
dealeristhesamedaymyplanisthatIhaveavoidthetransportchargessothathowshallIfollowthe
transactionprocedureandhowtoraisetherequiredocumenttodeliveryatkaranatastatedealer
Reply
46. sahanes.dsays:
04/11/2013at3:44PM
DearSir,
MyoneclientfromDelhihadpurchasedsomegoodsfromusagainstCfrom.StillwearewaitingforC
formsfromlasttwotothreeyears.IsitpossibletoclaimfiragainstnonreceiptofCform.
regards
Reply
47. sachinsays:
03/07/2013at11:50AM
DearSir,
wearehavingcompanyregisterofficeinDelhiandSalesTaxregistrationinHaryana.PleaseadvicecanI
takevatinputonlocalpurchasefromdelhi.
Pleaseadvice
SachinKumarSuri
Reply
48. AnandSwamisays:
02/18/2013at6:27PM
sir
plconforminsaleintransitwecan
mentioncstamountinbillortotalamount
Regards
Anand
Reply
49. vikasguptasays:
02/13/2013at7:18AM
doestheexmptionofnocstwillavailableinfollowingcase

ApurchasegoodsfromInterstateandalsoreceivesE1.Hesellsthatgoodstoalocaldealerwithoutany
taxasE1sales.
Isitcorrect
Reply
50. pavansays:
02/12/2013at11:59AM
theQuary
X&YareinthestateofAndhraPradesh.XPlacedorderonYandthedeliveryinstructionsgivento
deliverythegoodstoZwhoisinkarnataka.
AspermyknowledgetheCSTisapplicableandirequestforclarificationsregardingtheabove.
Reply
51. Nikhilsays:
02/07/2013at4:24PM
doestheexmptionofnocstwillavailableinfollowingcase
ApurchasegoodsfromInterstateandalsoreceivesE1.Hesellsthatgoodstoalocaldealerwithoutany
taxasE1sales.
Isitcorrect?
Reply
52. DeepakDhyanisays:
02/07/2013at9:23AM
DearSir,
plssolvemyquestionthatifAisamanufacturingcompanyregisteredindelhi&hasitsbranchat
Uttaranchalwithregistrationwhichisasubsidyzone&allitemsareexemptedwhicharemanfacturingin
delhi.CanAcompanysupply/saletheseproductsonUttaranchalbill/invoiceassaleintransitdiractly
fromdelhi&availexemption,&whichformshouldrequirewiththeseexemptedgoodstosaletoother
states
Reply
53. Mohandassays:
02/07/2013at12:33AM
OurfirmregistrationatTamilNadu,wegotmetalscrapsupplyinMP,sametimewealsopurchaseand
salesamestate,howcanimakebillourfirmname,pleaseguidemebriefly.
ThanksRegards
Mohandas.
Reply
54. Mohandassays:
02/07/2013at12:26AM
OurfirmregistrationatTamilNadu,wegotmetalscrapsupplyorderfromDelhisametimeampurchase
thegoodsDelhionlyandalsosupplyDelhi,purchaseandsellingsamestate,HowcanImadebillour
firmName.pleaseguideme.

TanksRegards
Mohandas.
Reply
55. VipulPatelsays:
02/05/2013at10:26AM
IamadealerfromMumbai,IhavereceivedorderfromXYZcoinGujratandIampurchasingthesaid
materialfromonevendorinGujrat.
Myquestionsareasbelow
1)whatisapplicable?CSTorVATfrommysupplier
2)WhichtaxIshouldchargeinmyinvoicetomycustomerinGujratVAT/CST?andatwhatrate??
PleaseReply
Reply
56. VinalJShahsays:
01/23/2013at7:53AM
Hi
Iwantedtoaskthatintransitsaleifiamtheconsigneethanihavetoissuemybilltonextpartyin7days
frommypurchasebilldate
Reply
57. DeepakDhyanisays:
01/17/2013at6:01PM
Dearsir,
wewanttosupplyexemptedgoodsfromU.PtoDelhi&otherstates,whichformisrequireforsupply
thesegoodstoourdelhibranch&sellforotherstates.webuytaxablerawmaterialfromdelhisoforthese
whichformisrequire
pleaseguidemetoknowtheseformsforstocktransferofbothtaxableorexemptedgoods&forsale
Thanks
Regards
DeepakDhyani
Reply
58. JAGMOHANSINGHsays:
01/17/2013at5:52PM
DEARSIR,
WEHAVEDISPATCHEDTHEMATERIALFROMLUDHIANATOGHAZIABAD(UP)ON
16/01/2013
BUTOURBILLNO.002DT.31/12/2012.ANDOURTRCUKHOLDATSHAMBOOEXPORT
BARRIER
DUETOOLDDTD.BILL.WEHAVENOKNOW