Sometimes goods are not sold but are transferred to branch/agent

In case, such branch is outside state, it is called Inter State stock transfer

And

In case such agent is outside state, it is called inter state consignment transfer

 

Taxability

No CST is imposed on Consignment/Stock Transfer

The burden of proving that the movement of those goods was occasioned NOT by reason of sale shall be on the dealer transferring the goods to his branch/agent/principal

 

Procedure Followed

In this case, buyer gives F Form to seller

F form is given in case of

  • Interstate Sale to Consignment Agent
  • Interstate sale to Branch
  • Interstate sale to Job worker
  1. Indirect Tax
  2. CST
Ask Download

About the Author

CA Maninder Singh's photo - Expert in Practical Accounts, Taxation and Efiling
CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 8 years. He provides GST Training in Delhi. Register now.