branch accounts
This query is : Resolved
23 August 2010
Branch A :-- Puchase material @12.5% and same transfer to Branch "B"
Branch B :-- further processing the same selling it @ 12.5%
Question :
1) what entry i'll pass in branch "A" for transfer of stock without showing credit effect in purchase.as m claiming input credit in branch "A" on total purchase.
2) what entry i'll pass in branch "B" as no input credit m taking in branch "B" and material received from branch "A"
Note :-- Branch "A" is contractor
Branch "B" is manufacturer
Branch B :-- further processing the same selling it @ 12.5%
Question :
1) what entry i'll pass in branch "A" for transfer of stock without showing credit effect in purchase.as m claiming input credit in branch "A" on total purchase.
2) what entry i'll pass in branch "B" as no input credit m taking in branch "B" and material received from branch "A"
Note :-- Branch "A" is contractor
Branch "B" is manufacturer
CMA Ramesh Krishnan
(Expert)
24 August 2010
If the branches are under same company and same state
Entry for Purchase by A
Dr:Purchase a/c
Dr: Input VAT A/c
Cr: Supplier
Through stock transfer
Dr:Branch B a/c
Cr: Stock A/c
In Branch B
Dr:Stock received a/c
Cr:Branch A a/c
for Sale
Dr: Customer a/c
Cr: Sales a/c
Cr: out put vat a/c
While consolidating the branch a/c`s the input and output will be set off
Entry for Purchase by A
Dr:Purchase a/c
Dr: Input VAT A/c
Cr: Supplier
Through stock transfer
Dr:Branch B a/c
Cr: Stock A/c
In Branch B
Dr:Stock received a/c
Cr:Branch A a/c
for Sale
Dr: Customer a/c
Cr: Sales a/c
Cr: out put vat a/c
While consolidating the branch a/c`s the input and output will be set off
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- GST input credit on commercial property
- GSTR-9C filing
- GST ITC as per notification 12/2023- central tax
- Urd purchase entry in tally prime
- Positive Balance in RCM Liability/ITC Statement – Commercial Rent RCM – Guidance Required
- Gift to nri relatives residing in usa
- Form 144 TDS Return Validation Error – Mandatory Fields
- TDS- 2026-27 Q1 Correction
- How do you manage client document collection and follow-ups in your CA/CS practice?
- Ito add credit side of bank
- Employee secondment
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
