Mou with manufacturer

694 views 2 replies

Hello everyone

This is ramakrishnan , I own a trading / Export company (B in my case).

I have got an order from a Company C(foreign company which is registered in India).I have to buy a product from the manufacturer  (A) and sell the same to the Company C.

In this A to B to C transaction, I have sales tax issue so my questions are

1) can I sign a Mou with the manufacturer to elimate these sales / Vat taxes.

2) or if I lease a manufacturing plant , It would be B To C which would be a solution ?

Note : Company C exports the product they buy from us (B)

Waiting for ur replies 

thanks

Replies (2)

Signing an MoU with A will have no effect on sale tax issue. You are purchasing goods from manufatcturer A, then you sell it to foreign company C. Whatever sale tax is applicable in such transactions, it has to be paid. Leasing a manufacturing unit, too, make no difference. It seems the tax is eating away your margins.

One point like to ask you how can a foriegn company but registered in Indian Happen

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 08 July 2026
Article internship

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
ARTICLESHIP 23 July 2026
Article

Gianender & Associates

New Delhi

CA Inter

View Details
Company
06 July 2026
Senior Accountant

Arvindkumar Maniar & Co.

Rajkot

CA

View Details
Company
ARTICLESHIP 07 July 2026
Articleship

Jawahar and Associates Chartered Accountants

Hyderabad

CA Inter

View Details
Company
ARTICLESHIP 16 July 2026
CA Article

Pipara & Co. LLP.

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 16 July 2026
Article Assistant

G A R U D & Associates

New Delhi

CA Inter

View Details
Company
23 July 2026
Senior Accountant

Felicity Adobe LLP

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 14 July 2026
Article Assistants

R Shyam and Associates

New Delhi

CA Final

View Details