KVAT Statutory Forms downloading instruction
Compiled and prepared By T.G.KRISHNAKUMAR, TAX CONVENER, KETA.
Before start downloading the statutory forms, first go to the print section and select the month. Enter Print form 10, now you can view the form 10. Go to the last paragraph where you can view “print purchase details and sales details”. Take a print of the purchase details before proceeding to download the statutory forms.
1) This is a system where dealers can directly download the statutory forms from Kerala Commercial Taxes Department’s official website (www.keralataxes.gov.in) e.g January month’s form can be down loaded in the month of February after the monthly return is submitted. The monthly return status should be received or completed before starting of downloading.
2) The following forms can be downloaded.
(i) Form C – Interstate Purchase
(ii) Form E – Transfer of documents (E-I , E-II)
(iii) Form F – Declaration for stock transfer
(iv) Form H – Proof for export
3) Please note that it is mandatory that dealers have to e-File their corresponding monthly return along with purchase and sales invoices for which period the forms are downloaded If the supplier is from Delhi their CST no and TIN no start with “0” and this will not be accepted by our KVAT validating excel form. The instruction in the VAT site is to give such TIN details as “88888888888”. Such traders should correct their TIN numbers thro’ revised return before downloading the C forms.
Those dealers who have already given their annual return, should write to their respective CTO or AC to help in giving revised return.
4) Click the link in the e-Filing homepage Forms Downloading.
5) On selecting Assessment Year all returns filed by dealer would be listed.
6) Select the respective return month for which period (based on the invoice date); forms are being issued to interstate dealer.
Enter new form issue – you will get a screen as Form of declaration.
7) The input format for all the forms is common and only necessary details as per the statutory format need to be entered.
8) The following details are mandatory in all the forms -
Form Category (ie C/ F/ H / E-I / E-II) TIN, Name, Address, CST No of Interstate Dealer
Destination State, Name Status of Authorized Signatory do not type any alphabets along with TIN like V, C etc
9) Those columns not applicable for each form need not be filled.
10) After filling the common input format, save the changes made
11) Subsequently the invoices with respect to the Interstate Supplier TIN would be displayed from the sales / purchase invoice details uploaded by the Kerala Dealer as part of their monthly return. If this is not displayed checkup the TIN details typed on the forms, if it differs from the TIN given in the purchase details monthly return then the details will not appear on the screen. Correct the same and try again.
12) Form C, F & H will refer the purchase invoices furnished by the Kerala Dealer and E1 & E2 will refer the sales invoice details.
13) Select the invoices from the list. Mark a tick on the select all box, for all the bills in one C form , or respective invoice box for giving one or more C form for which the form is being issued to the Interstate Dealer.
14) Finally, the dealer has to confirm the process to generate the print.
with in 30 seconds the format of C form will appear on the screen if not make a small changes in your internet explorer – go to the tools – pop up blocker – make on the pop up blocker . if it is in off position you will not get the C form on the screen. Once again go to the submit & print form - and submit. You will be given a warning message if the same is submitted you cannot modify the form. If any mistake is found after submitting, you cannot issue a fresh form for the same party.
Take a print out and both the papers should be signed with seal. Two copies should be sent to the supplier one copy should be retained by the dealer.
15) All Form Issue details can be verified through Kerala Commercial Taxes website by the Assessing Authorities and Dealers in other states.
16) Please note that no fee is required for downloading forms and no signature from the officer concerned is also required
CLARIFY YOUR SALES TAX DOUBTS
1) I am supplying to KSEB & KWA. My products are all electrical items coming under III & IV schedule. The authorities are demanding reduction in tax rate under KVAT act @ 4%.Kindly explain? ( Promod , Semitronics , Thodupuzha.)
Ref: KVAT act 6(1) “provided also that where sale of goods other than petroleum products, Manufactured in the state is to Railways, Kerala State Electricity board, Kerals state RoadTransport corporations or Kerala water authority, the tax payable under clause (d) above shall Subject to such conditions and restrictions as may be prescribed be at four percent”
a). It is clear that , if the products are manufactured in Kerala such product supplied to such govt department will be at the rate of 4%.
b). If the items are coming from other states and supplied to such departments the rate of taxes as specified in the schedules, no concession is allowed.
c). It is advised that while giving Quotation to such departments, clearly mention that the rate of tax as12.5% or 4%, and these goods are not manufactured in the state of Kerala.
2). What is a Van delivery and a Van sales? What are the records to be maintain in Van sales ?.
a). Van delivery means, invoicing from your shop, and delivering the goods to the dealer place
b). Van sales means, dealer who transacts business at places other than his registered place on a vehicle and employs a traveling salesman or representative to transact business like invoicing supply of goods etc.
c). Van sales permit should be obtain from the assessing officer, authorizing the salesman or Representative on or before 31st March every year. The permit is valid for one year.
d). Should maintain true and correct account of all the transactions, stock book showing the Quantities of goods held, sale etc., shall be maintain continuously for the whole period. Sale bills and stock register should be duly authenticated by the assessing authority by affixing its seal theron. This is applicable only to the dealers effecting first taxable sales of the goods within the state.
3). I am purchasing electrical goods from a distributor in kerala. After four months some of the Defective material and unsold materials are returned to the company. They have given credit note In form 9, on the value of the goods and not on tax. My question is
a). How this credit note should be Accounted?
b). What is the time period for sales return and purchase return from outside?
c). Should I pay back the input tax claimed for that returned goods?
Ans : a). This should be accounted thru monthly returns. If a supplier have given a credit note for the items return The receiving dealer should prepare a debit note for the same.
b). Sales or purchase return from outside state is 60 days. For local purchase or sales is 90 days.
c). Yes it is called reverse tax , weather used for your own purposes, destroyed by fire or any other means stolen, perished or damaged etc you should return the input tax claimed for such amount of items.
d). if the items are send outside state due to damages , wrong supply etc, and the supplier is giving credit note for such amount should be accompany the copy of lorry receipt as a proof of items send.
4). I have purchased 0% tax items from a TIN dealer. The dealer had given me invoice in 8B format, When insist for 8 bill he said as it is zero rated and no input tax is available on this hence the 8b is sufficient Is it correct? Kindly clarify. ( E.V.George, E.G.Traders, Ernakulam)
ANS : The selling dealer declares his 8B sales in total. Selling dealer is not giving his 8b sales bill wise in their monthly returns. But the purchasing dealer are bound to give all their purchase details, this may leads to mismatch of records. HenceAs per vat act, if the sale is to a dealer the bill should be in 8, and to an end consumer it should be in 8B.If it is to an unregistered dealer the bill shall be in 8 accompanying annexure III duly signed for each bill.
5). what is the rate of tax rate on interstate transaction collecting “C” form and with out “C”from? Is cess is applicable? ( Tom jose, Electromag, Ernakulam )
ANS: Cess is not applicable for interstate transaction & export sales. The rate of CST now is 2% against Form-C. C-form should be submitted with in the stipulated time along with monthly returns. If the purchase or sale is in the first quarter, it should be given or collected with in the next quarter. If the sale is with out collecting Form-C then the rate of CST is as applicable to the Vat rate of tax. Ie if it is electrical item 12.5% and it is cable or pump 4% as CST.
Commercial tax department is sending notice based on the discount shown in the P&L / Balance sheet given along with Form 13 & 13A last year. Such notices should be given a proper and evidence replay along with ledger copy and credit notes. Hence members are requested to take care of the following
The traders are selling their goods less than the landing cost price anticipating the discount by way of credit note. The purchase price should be included freight charges, loading and unloading charges. The sale price should be more than the landing cost or purchase cost.
Under vat act explanation VII to section 2(Iii) “ where a dealer sells any goods purchased by him at a price lower than that at which it was purchased and subsequently receives any amount from any person towards reimbursement of the balance of the price, the amount so received shall be deemed to be turnover in respect of such goods”
As per the Kvat act 11(2) 8th proviso “ the amount covered under credit notes issued by a supplier that do not affect the input tax credit already availed of or on account of reimbursement of any expenses incurred by the dealer shall not be reckoned for the purpose of assessment under this act “
If the dealer is receiving any credit note towards reimbursement of expenses like advertisement, van sales expenses, display expenses etc, should contain a declaration that
“ the amount covered under the credit notes issued by us do not affected the input tax credit already availed. We have not claimed deduction of the credit note amount and that the full tax on the sale bills are fully paid”
And also if any credit note on the target or quantity purchases or sales, but the dealer should ensure that those items were not sold less than the landing cost and value addition is ensured.
If the credit note is issued by a local manufacturer or a C&F or a whole seller under KVAT act it should be in Form 9 and such credit note should be given a debit note in Form 9.
6.. What are all the orders will be taken only with DC appeal ?
ANS . The orders passed under the following section be appealable only with DC (appeals)
Section 48:- Transit of goods through the state and issue of transit pass.
Section 49:- confiscation by authorized officers in certain cases,
Section 67:- imposition of penalty by authorities
Section 69:- penalty for transport of goods with out records
Section 70:- penalty for prevention or obstruction of survey inspection etc.
Section 70A :- penalty for non issuance of sale bill
Section 72:- Penalty for illegal collection of tax.
7. What is the turnover limit for applying for registration? And what is the limit for paying tax ?
Ref act 15 & 16. Dealers whose total turnover in a year is not less than Rs. 5/- lakh are liable to get registered.
Casual traders, importing goods from outside states, non resident dealers and their agents, and others specified in the ACT 15(2) have to take registration irrespective of their total turnover.
A dealer is liable to pay tax when his taxable turnover is RS.10 lakhs and above.
8). During Christmas we give CAKE as gift to our customer, while distributing such gift item (cake)
Our auto was investigated by the intelligence wing and fined for want of bills and papers. What is the procedure?
Please give clarification?
While transporting, any goods should accompany with sales or purchase invoice, delivery note, declaration letter etc and
If an individual other than a registered dealer should have a purchase bill or certificate of ownership in form16.
9). Can I claim input tax credit in respect of VAT paid on purchase of computer for my business use ?
You can claim input tax credit in respect of VAT paid on purchase of computer and delivery vehicles for your business purpose
As per the condition in section 11(2) rule 13 and notification SRO no. 324/2005 dt 31-3-2005. This should be claimed in Form 25 within thirty days along with copies of the tax invoice issued by the registered dealers