Stock transfer

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Guest

Guest (Querist)

16 August 2014 Is there is partial benefit of input tax credit given in case of inter-state sales and full benefit of input tax credit in case of intra-state sales on account of stock transfer.kindly explain me both cases with aexample.

Rupesh Jain

Rupesh Jain (Expert)
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16 August 2014 in Haryana
if you tfr with In state then you can take the full input benefit.

but when you make out of state tfr. then you have to reverse the input vat

input vat X stock tfr.
/total(sales+stock tfr)

Guest

Guest (Querist)

16 August 2014 sir,iam ipcc student.topic of stock transfer is there in vat chapter.please explain me the how benefit of input credit is given to the dealer who transfer goods within states and outside state.ie whether it 2% of input tax credit or what.
iam preparing for exam so, give me answer accordingly.

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