19 September 2012
company was sold machinery on guarantee contract basis, which mentioned that if sold machinery not operated well it will be replaced by another same machinery. during the year in one sale transaction, sold machinery was not operated well and company has to replace it as per contract. company already paid duty on original sale transaction. Now my question is that whether company is liable to pay duty on removal of goods for replacement of machinery.
19 September 2012
bring the original machinery under cover of invoice from the buyer, and take credit of same under RG23A-part2, on the strength of invoice issued by buyer.
issue 2nd machine or in other words rectified machine after paying appropriate duty or in other words reversing the duty for rectified machine.
CAclubindia
