Sales taxes in Deemed export

[Former Member]

Hi experts,

Is Sales taxes applicable for deemed export? 

how can we treat ARE3 document in deemed export return?

Thanks

Shibu chandran

[former_member211616]

Hi shibu ,

sales tax is not applicable in  deemed export

and in return of ARE3( J1IA301) when go for ARE3 reversal then

while u create the are3 then u will not pay the excise where as we you do(return ) reversal  OF ARE3    you need to pay the excise amount

Regards

Ramesh

[Former Member]

Hi Ramesh,

i need to get clarified only the sales tax part. some of our experts are mentioned that:

sales tax is applicable for deemed export?

Sales taxes will not be applicable if customer submit the Form H?

You are suggesting that sales tax is not applicable?

Kindly answer me my above question, as i am bit confused

Thanks

Shibu Chandran

[former_member211616]

Hi shibu ,

Its true company  need to provide the Form H then only they get benefited or else they need to pay sales TAX it is considered as a normal sale they can claim to there customer give the debit note because its there fault 

Regards

Ramesh

[Former Member]

Hi,

Thanks for your quick reply,

sales taxes are applicable if they do not submit the Form H, other wise sales taxes are applicable ??

Thanks

Shibu Chandran

[Former Member]

Hi,

Thanks for the reply,  i am concluding through ur link that CST and VAT are applicable for Deemed export

if customer provides H form then CST and VAT could be exempted

Kindly confirm

Shibu

[balaji_parsewar]

Yes.

If customer provides Form "H" then CST and VAT could be exempted.

The sale of goods to any exporter for the purpose of complying with the pre-existing order and covered by Section 5(3) is also exempt as deemed export. These sales are to be supported by Form H along with export order details and copy of bill of lading etc. as evidence of actual export

Regards,

Balaji

http://wirc-icai.org/wirc_referencer/indirect%20tax/Central%20Sales%20Tax%20Act.htm

[balaji_parsewar]

Hello Shibu,

Answer to your first question is Sales Tax is not applicable in Deemed export under provision of "Form H".

Regarding second one, I think Bojja had answered it.

Please correct me if I am wrong &  Text Removed

Regards,

Balaji

Message was edited by: G Lakshmipathi

Please dond add such text

[Former Member]

This message was moderated.

[former_member211462]

Hi Shibu C

Check this , it might be helpful

http://scn.sap.com/thread/1379100

Regards

JNM

[bsivasankarreddy_reddy]

hi

it depending on your process , and CIN settings ,

path

img- logistic general- tax on goods movement - india-business traction-  out going excise invoice - main default excise groups and serious groups -

here you maintain the sale area +excise group+serious group + shipping point+plant + export related+sub traction type

here maintain the all data for you export data, you want deemed export you set the export tab at deemed export like belwo screen

and maintain the ARE3 at serious group depending

like same path business transaction - export under excise regulation - deemed exports - make settings ARE-3 PROCEDURE here you set the serious group and excise TT + reware house period

-  number copies like below screen

same path , TRANSACTION CONFIGURATION , HERE you check for ALL data   and also activate the J1IEX t code , related are3 ,

and also check INCOMING INVOICE DATA for same path

check returns details

path

INDIA- ACCOUNTING DETERMINATION - SPECIFY EXCISE ACCOUNTS PER EXCISE TRANSACTION ,here specify the EXCISE  TT , credit , debit , accounting name

and next SPECIFY G/L  ACCOUNTS PER EXCISE TRANSACTION ,

HER  specify for all data

please check