Stock transfer price variation
This query is : Resolved
GURUNATHAN
(Querist)
09 August 2016
Dear Experts,
Thanks in Advance,
One of My Client's Head Office is in Mumbai(1st Point of Sale). They Have transferred the goods to Chennai Branch office. Stock Transfer value is about (Example)Rs. 1,00,000. Chennai Branch Issue Form F for Rs.1,00,000. But they have sale the goods for 80,000 due to discount issued to the customer. Now chennai office consultant said that we have to pay tax for the difference amount of Rs.20,000/- because we got Form F for 1,00,000/-. the Discount amount will consider evasion of Tax. Was it Correct . Kindly Advice.
Thanks in Advance,
One of My Client's Head Office is in Mumbai(1st Point of Sale). They Have transferred the goods to Chennai Branch office. Stock Transfer value is about (Example)Rs. 1,00,000. Chennai Branch Issue Form F for Rs.1,00,000. But they have sale the goods for 80,000 due to discount issued to the customer. Now chennai office consultant said that we have to pay tax for the difference amount of Rs.20,000/- because we got Form F for 1,00,000/-. the Discount amount will consider evasion of Tax. Was it Correct . Kindly Advice.
Amol S Joglekar
(Expert)
10 August 2016
By principle, it is NOT correct. The consultant might have told you keeping eye on practical aspect.
GURUNATHAN
(Querist)
10 August 2016
sorry sir i didn't understand...
Amol S Joglekar
(Expert)
10 August 2016
what your friend told is not correct in PRINCIPLE.
But in our country, law may differ from practice.....
But in our country, law may differ from practice.....
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
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Utilisation Fy 25-26 TDS challans in Fy 26-27 TDS Return
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Issuing of delivery challan by seller of goods
- SECTION 393(3) TAX ON CASH WITHDRAWAL
- Taxation of crypto futures in India Fy 2026- 2027
- Transfer of Physical Stock Between Two Proprietorship Concerns
- 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
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- 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?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
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
