If i m a distributor i purchase supplies from <font color="red">"Company A"</font id="red"> & sell to <font color="red">"Campany C"</font id="red"> i took commission on sales from <font color="red">"Company A"</font id="red"> but i m not registered under Sales Tax Act 1990.
Is there any requirement to b <font color="red">"REGISTERED"</font id="red"> under Sales Tax Act 1990
There is no turnover limit for the registeration of Distributor under the Sales Tax Act,Is it correct?
distributors must have to register..without any lmit.
Following sectors are required to get registration for sales tax and charge sales tax on their supplies/ services
Manufacturing
Import
Services
Distribution,Wholesale Retail
ok
but invoices r made in the name of "Company C" instead of "Company B"..
Company B is just perform like a bridge & take his commission.....
Company B is a distributor?
g "Company B" is distributor
It seems that cpmany b raise sales invoice to company C and company B will charge only commsiion income in his bill.No sales tax involvement on part of comp B . Bcz Invoice issued in favor of comp C therefore comp C charge input tax in his reeturn and comp A claim output tax in his retun .Comp B is only a commission agent
g aisa hi he
& "company A" pay commission to "Company B" after deducting 10% WHT on commission..........
it means "Company B(Distributor)" don't need to get registration under Sales Tax Act 1990 in this case.....
defination of distributor as per Sales tax Act
"distributor" means a person appointed by a manufacturer,
importer or any other person for a specified area to purchase goods
from him for further supply and includes a person who in addition
to being a distributor is also engaged in supply of goods as a
wholesaler or a retailer;
Any company fall under above mentioned defination needs to be registerd in Salestax.
I think above defination of distributor clear ur query
g
thank u consultant bhai for ur precious time .........
Company B is working as INDENTER, for it no need to registered in sales tax.
Indenter means?????????????/