Vat applicable for stock transfer of goods

Originally posted by : Noorul Badur
	Respectable Experts ! Am Noorul, an employee of EEPL expecting a clarity on VAT applicable for Stock Transfer of goods and the necessary documentation for movement of those goods. 1. Within the branches in Tamilnadu (Intra-state Stock Transfer) 2. Within the branches in India (Inter-state Stock Transfer) 3. Within the project sites of my Company. eg. Our company is located in Chennai. One of our projects is at Coimbatore. We need to transport an airconditioner (for own use & returnable) from Chennai to our temporary site office at Coimbatore where we have no branch.  Kindly clarify on documentation and applicable VAT%.

Atleast, kindly respond to the below query...

We need the Procedure of Stock Transfer of goods within the project sites.

eg. Our company is located in Chennai, Tamilnadu. One of our projects is at Coimbatore, Tamilnadu. We need to transport an airconditioner (for own use) from our Chennai Branch to our Temporary site office at Coimbatore where we have no branch.

Kindly explain the procedure, documentation and tax details for facilitating movement of goods.

Thanks & Regards,

Snoba

Stock transfer to be evidenced by procuring the statutory forms  (form F) from receipient branch to evidence that the said transaction is not sale.

Stock transfer made within the state should not be procured by statutory form but some declaration to be accompanied stating that it is for branch and not for customer.

Sum of stock transfer to be incorporated in the Vat return ( i.e in consignor it should be shown as part of turnover in stock transfer out and in consignee return it will be part of stock in i.e part of purchase)

Stock transfer are not liable for sales tax if it is against form F.