Branch transfer

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kathuri spandana (Querist)
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30 April 2019 We are transferring asset from mumbai to telangana with in the entity,whether it is liable for GST,if liable on which value we need to calculate GST and which invoice we need to issue as there is no commercial transactions involved for the purpose of E Way Bill.

Our mumbai branch is having 2 registrations i.e Regular and ISD which registration number we need to mention in invoice

CA Anita Bhadra

CA Anita Bhadra (Expert)
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30 April 2019 Yes , it is liable for GST
You need to raise invoice , value will be open market value .You need to raise tax invoice for the purpose .

Regular registration Number need to mention

Section 25(4) provides that, a person who has obtained or is required to obtain more than one registration, whether in one State or Union territory or more than one State or Union territory shall, in respect of each such registration, be treated as distinct persons for the purposes of this Act.
Schedule I of the GST Act, - Supply of goods or services or both between related persons or between distinct persons as specified in section 25, when made in the course or furtherance of business SHALL BE TREATED AS SUPPLY EVEN IF MADE WITHOUT CONSIDERATION:

Udaya Chandran

Udaya Chandran (Expert)
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30 April 2019 When you transfer any goods from one state to another state, GST will be applicable even within the same entity as GST registration is separate for each state. And according to Rule 28 - value of such goods shall be open market value, if open market value is not available, value of kind or quality shall be the value of such goods - also note if the recipient is taking full input credit then the value declared in invoice shall be deemed to be the open market value.

So it the recipient is eligible to take full ITC then you can raise invoice for any value as you prefer.

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