Dear All
Can someone help in clarifying how freight should be billed to customer for the below scneario
Supplier A - Maharashtra
Purchaser B - Kerala
Customer C -Kerala
Supplier A sells material to Purchaser B buys as interstate sale transaction for which there is seprate Freight Invoice Billed to Purchaser B by Transport company and Tax Invoice by Supplier A .
Now if Purchaser B sells the same to Customer C as Local Sale how should the Freight be shown in Sale Invoice of Purchaser B to Customer C for Local Sale (KVAT) . Please note that here the Customer C Pays the Freight Bill so that Customer C can account the Freight based on the Purcaser B Invoice.
Should it be like this for purchaser B sale of Invoice
CP
+Profit
+ Freight
+VAT 5%
Grand Total -XXX
Less Freight To Pay
Final Amount - YYY to be paid by Customer C to Purchase B
CAclubindia
