If there is interplant fixed assets transfer ( both sister units under same management) from one state to another, what are the procedures to be complied wrt Excise Act / Rules, CST , VAT etc.
Kindly advise.
J Banerjee
If there is interplant fixed assets transfer ( both sister units under same management) from one state to another, what are the procedures to be complied wrt Excise Act / Rules, CST , VAT etc.
Kindly advise.
J Banerjee
Please clarify, fixed asset means what ? machinery, tools ...etc
Thanks.
Mostly plants & machineries firmly embeeded ( to be dismantled) & a few equipments.
Regards,
J Banerjee
17.11.10
As per excise
Option1 - You will transfter all the equipements and machinerys with proper excise invoice with payment of duty(you can adjust if any depreciation). And the same can be taken credit at that unit.
Option2- As like merger, you will transfer the all goods and cenvat balance if any. to another unit with proper intimation to your comm. of cex. Based on that you can transfer all the goods without payment of duty.
As per sales tax
This is like stock transfer. You can mention that invoice as stock transfer and not for sale. This is enough for sales tax . you can raise zero tax
Thanks Mr.Anantkumar for your valuable advise.
I have one query further to this discussion. The company has already used the fixed asset for few years and taken 100% cenvat credit. In this case, my query is whether excise invoice is required while transferring the asset to other plant of the same organization; or transfer through a Non Returnable challan is sufficient. Kindly advise in this regard.
In your case, According to me, if you transfer you asset through challan then you will not aligible for depriciation on same asset in your sister concern firm as per income tax act. so it is batter to provide invoice (duty paid or nill duty against permission of Commissioner of Central Excise)
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