Is it possible in VAT

Hello all.

Is the intertransfer of VAT possible for two sister proprietary concerns?

See the situation is like, there are two firms of same proprietor, both have a heavy size difference are having its own VAT I.T.C.. Now the bigger firm is taking the credit from smaller firm via entry:

VAT Tax A/C ......Dr.

    To Small firm

 

I think its not allowed. What your say?

Replies (8)

same here

they can only get exmption under cst through form F(not too sure)

i thnk when a person have two firm and he sell goods to his other firm it is not called sale it is called transfer and u hve to issue f form for that transfer

Hi Abhishek,

 

There is no provision for inter-adjustment of VAT credit between two dealers registered separately though the management/owners are common.

 

In case of proprietory concern, a single registration can be obtained for all his businesses in which case the credit can be availed for different businesses under one registration.

NOT agree with  dharmraju  a single dealer have to obtain different tin no according to state in which he established his businness

 

In my opinion it's transfer and he use form F for this transfer.

I think it is not possible in VAT . rectify me if i am wrong

i think its sale

Hi Kundan,

 

No doubt the registration has to be obtained State wise.  I mean, in case a proprietor is having different businesses in the same State, he can obtain One registration for all his businesses in the State.

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