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Stock transfer

Yogesh Kumar (Job) (180 Points)

26 October 2012

I am registered in Maharashtra under VAT & CST Act. I have to arrange a training camp in Bangalore for which some material is required and there I didn't have any VAT & CST registration.

Since materiel is for internal consumption how can raise invoice to own but if you don't have any invoice then it can not cross Maharashtra.

Any material coming to Bangalore must be accompanied with E sugam but I can not issue E sugam because I have no registration under VAT & CST Act.

So now my issue is how to transfer the material from Maharashtra to Bangalore?

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6 Replies

Harshal Fifadra (Chartered Accountant) (1489 Points)
Replied 26 October 2012

Is training camp in Bangalore your place of business ...... ??

Yogesh Kumar (Job) (180 Points)
Replied 27 October 2012

No we are aranging it to demonstrate our product.

Harshal Fifadra (Chartered Accountant) (1489 Points)
Replied 28 October 2012

Dear Yogesh Kumar

Since you are using the products for the demonstration purpose, it means that you are using it for the business promotion .

There is no need to raise an invoice in the name of your business . Debit the value of the material used for business promotion to the Profit and Loss A/c ....

Ok....

Yogesh Kumar (Job) (180 Points)
Replied 28 October 2012

Sory to say bro.............!

But read my question first.
My issue is how to transfer material from Maharastra to Bangalore?

Nalini S (Manager - Sales Administration) (51 Points)
Replied 29 October 2012

You may transfer the material against declaration stating that the consignment is not for Sale and does not hold any commercial value. It is being used for Business Promotion only.

This will do.

Harshal Fifadra (Chartered Accountant) (1489 Points)
Replied 30 October 2012

Credit your Trading A/c as goods used for self consumption ....... or business promotion

at first it is not at all a stock transfer since no place of business at bangalore and stock transfer is said to have taken place when you have transferred goods to a place of business other than the place from where the goods have been stock transferred ....

do not raise an invoice in your name .... just take out the goods and say it used for self consumption or business promotion .........