CST Form F: Transfer of Goods to a Branch or Agent Outside the State

Form F is the prescribed declaration used to support a claim that goods moved from one Indian state to another as a branch, stock or consignment transfer, rather than because of an interstate sale. Its statutory basis is Section 6A of the Central Sales Tax Act, 1956, read with Rule 12(5) of the Central Sales Tax (Registration and Turnover) Rules, 1957.

What is CST Form F?

Form F is a declaration furnished by the person receiving goods, such as the dealer's branch, another place of business or agent in a different state. The transferring dealer uses the declaration, together with supporting dispatch records, to establish that the movement was not occasioned by a sale. A physical movement of goods alone does not establish a taxable interstate sale.

Legal provisions: Section 6A and Rule 12

Section 6A(1): Burden of proof

Section 6A(1) of the Central Sales Tax Act, 1956 places the burden on the dealer claiming that interstate movement was a transfer to another place of business, an agent or principal and not a sale. The statutory mechanism calls for a prescribed declaration and evidence of dispatch. Failure to establish the claim may result in the movement being treated as a sale for CST purposes.

Section 6A(2): Verification by assessing authority

The assessing authority may examine the declaration and other evidence to determine whether the movement was otherwise than by way of sale. Acceptance depends on the facts and the authority's determination, not merely possession of a Form F.

Rule 12(5): Prescribed Form F

Rule 12(5) of the Central Sales Tax (Registration and Turnover) Rules, 1957 prescribes Form F for the declaration contemplated by Section 6A. The timing and manner of furnishing declarations are governed by the applicable rules and administrative procedure, including Rule 12(7) and relevant state requirements.

Who issues and who receives Form F?

• Issuing dealer: The transferee or receiving branch, agent or other eligible recipient in the destination state furnishes Form F.
• Recipient of the declaration: The transferor dealer who dispatched the goods receives Form F and produces it to the assessing authority where required.
• Underlying transaction: Goods are moved from one state to another without a sale occasioning that movement.

Documents supporting a branch or consignment transfer

Depending on the period and state procedure, evidence may include:

• Form F declaration with accurate particulars of the goods and period;
• Stock transfer advice, branch transfer challan or consignment note;
• Transport documents, lorry receipt or delivery acknowledgment;
• Dispatch register, stock ledger and receiving branch inventory records;
• Consignment or agency agreement, where relevant;
• Other records establishing that the movement was not pursuant to a contract of sale.

The applicable state tax authority may request additional evidence. Documentation should be consistent with the nature and dates of the movement.

How Form F is used

1. Identify whether the transaction and goods fall under the CST regime for the relevant period.
2. Record the transferor, transferee, goods, dispatch dates and transport particulars.
3. Obtain the prescribed declaration from the receiving branch or agent through the applicable state process.
4. Reconcile the declaration with dispatch and receipt records.
5. Submit or retain the declaration and supporting evidence as required for assessment, audit or appeal.

Form F after the introduction of GST

Under GST, registrations of the same legal person in different states are treated as distinct persons for relevant purposes. Interstate stock transfers between such registrations may constitute supplies even without consideration under Schedule I of the CGST Act, with IGST implications. Accordingly, businesses should not assume that a current interstate stock transfer is exempt merely because it would previously have been supported by Form F.

Consult the Central Goods and Services Tax Act, the applicable IGST provisions and official GST guidance for current transactions. CST continues to be relevant for specified goods outside the GST levy and for earlier periods, subject to the applicable legal framework.

Related CST forms and guidance

See CST forms and declarations, CST registration procedure and CST rates. For statutory wording and updates, refer to the official India Code legislation record.

Updated: 9 October 2026. This article provides general information; the law applicable to a specific transfer depends on the date, goods, facts and relevant notifications.