Stock Trasnfer back to same Branch from where stock received earlier?
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Dear Sir, We are pvt.ltd company and delaing as a traders in engineering raw plastics. we have two branches one in Faridabad and second in Vadodara-Gujarat Now Faridabad branch is making stock transfer against Form "F" to Vadodara Branch for some of the raw material. And this raw material Vadodara branch is selling to manufacturing company for some job work and after job work Vadodara branch is purchasing material back from manufacturing company including all taxes like excise duty,vat etc.. now Vadodara branch want again to transfer that finished goods back to their Faridabad branch to sale the same to customers in Faridabad..so what formalities to be done for that.. Can Vadodara branch make stock transfer again to that same material which has been received from manufacturing company ? is there any complication from VAT department on this.. Please suggest us in details.. Thanks
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Answer:
According to what you have stated, the Vadodara Branch is selling the goods obtained from Faridabad branch after the Vadodara branch issuing Form F. If the goods had suffered Local VST at Faridabad at the time of purchase, the Faridabad branch will have to expunge VAT credit to the extent stated in the Haryana VAT Act. As far as the sending of the goods purchased from the manufacturer by Vadodara branch, after job work, it becomes a fresh purchase to Faridabad branch and therefore this will be a freh transfer for which Faridabad branch will have to issue form F. Here vadodara branch will have to expunge the Local Vat purchased.
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