Regarding VAT and CST registration

[anwarazad]

Hello everyone,

I have a few queries regarding CST and VAT registration. I would really appreciate it, if someone who is experienced would answer these queries.

1. Is it required to have CST/VAT registration if I am selling used items, such as old tape recorders, cd players etc?

2. I believe you need to have a CST/VAT registration for retail selling on ebay. Is this true?

3. I have checked around with some friends who are business men, and had informed me that the cost of registration for CST + VAT is Rs.30,000/- for partnership firm, which includes Rs.25,000/- as deposit, and Rs.20,000/- for sole proprietors, which include Rs.15,000/- as deposit. (The deposits are refundable upon de-registration). Is this accurate?

4. Another information I received regarding requirements to apply for VAT/CST is that, you need to have a business 'premise'. I do not know how exactly they define 'premise'. Can someone explain? Is the requirement of a premise applicable for e-commerce oriented businesses too?

Would appreciate an input from the pinks too, if you aren't too busy.

Thank you so much for your time and your answers.

[emiratesreseller]

Hi Mr anwar
i happened to see your post. Prior to seeing your post i too had similar doubts. I had a chance to meet a taxman he answered some of my query . I am from kerala so i enquired here. I will answer one by one .
1. Any transaction which initiates sale of goods needs tax to be paid for government. Once the turnover of the business reaches 5 lakh vat registration is compulsory .
2. Hope the above is the answer
3. As u said for registration 15 and 25 thousand is necessary . But there is one more option, if u have land or if any friends has it can be used as security by getting the solvency certificate from village officer or thasildar. Thus u can save the money
4. Yes premises is necessary for registration. U can rent any building in remote area for this purpose.
Any further doubts u may call me on 9809444887 yusuf

[ygcosmetics]

hello frnds..this que was asked by mr anwar 4 years ago...in 2009.. and u are still repling this que!!! strange

[paylessindia]

Stiil after 5 years ,the quesyion is still relevant for many new sellers in ebay.

So you can sell for 6 months /up to Rs 500,000.

I hope some ex sales tax practioners comments here.

Ebay should hire consultants on an annual retainer ship basis to answer new sellers   queries on these forums .

[wintrustgeetha]

It must refer to second sales not second hand. Second sales means it has alreasdy sufferred tax at first sale.

[1relimart]

Why is this post still Pinned ?

Are we sharing Stale information?

[qlptech]

i am fresh person, and want to learn 

but we offer small home appliance, such kettle, rice cooker ,garment steamer etc, but for china sales,maybe have  more difficut i think

[stech]

b. Do I trade, principally with non-VAT dealers/consumers ?

In this case it is likely to be in your interest not to register for VAT. Source https://www.apct.gov.in/HTML/faqs/reg_ans.html

[huzaifa_ujjain]

So we should also include the cst@5% in our transaction

http://newmeditech.com/

[easyonlinemart4u]

hi friends in all  thiis discussion no proper answer is available for the new sellers bt that true new selleres panicked that how complicated it is

kindly answer the seniors like anwer now that what practises are they using and are common 

and what kind of precautions are to take care

[raheen14]

Hi

If you are starting any business you should have VAT/CST.

As per costing VAT/CST-Rs500-1000 here in Delhi.