Transfer of gst credit

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This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

05 October 2018 Respected Sir/Madam,
I (ABC) do an import of materials from outside the country and meanwhile, we sell the goods in high seas to another company (XYZ) with the same director but different PAN. All the documents have GST No. of ABC. ABC also transferred all the duty by creating a debit note. Is this correct treatment of the transfer of credit. XYZ who has completed all the formalities at the custom port will pay IGST.

Please clarify on this matter that can one company transfers GST credit to another by creating a debit note.
THANK YOU

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

05 October 2018 No need of any duty payment including GST by high'sea selling company. Only the buyer has to pay import duty and igst while customs clearance.
GST can't be transferred to other person.

Querist : Anonymous

Querist : Anonymous (Querist)

08 October 2018 Thank u for your guidance. I have a doubt that invoice of shipping charges is in the name of ABC who made high seas sales and it has paid igst on it but further it will transfer credit to XYZ through debit note. XYZ transfers payment for all expenses done by ABC. Is it possible to take credit on reimbursements of expenses by XYZ.

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