Dear Experts Kindly clarify the below :
S Ltd is Manufacturer (TN), A Ltd is one of the Dealer (TN) and F Ltd is a Merchant Exporter (MH).
F Ltd has issued CT-1 to S Ltd.
Here, S Ltd has invoiced to A Ltd (within State) without Excise Duty and paid VAT.
A Ltd will be invoiced to F Ltd (Inter State sales)
My doubt is, Here A Ltd is customer of S Ltd not F Ltd and invoiced to A Ltd without payment of Excise Duty because of CT-1 issued by F Ltd.
1)Whether this transaction is correct or not? if it is wrong whether we have pay ED?
2)Whether CT-1 issued by F Ltd to S Ltd is correct?
CAclubindia
