BRANCH TRANSFER SALE

[AJAY KHARE]

WE ARE MANUFACTURING & RESELLING OF LABORATORY CHEMICALS HAVING BRANCHES OUT SIDE MAHARASHTRA.  WE ARE SELLING EVERY YEAR TO OUR BRANCH UNDER FORM F AND BRANCHES ARE ISSUE REGULARLY EVERY YEAR.

NOW OUR ASSESSMENT IS IN PROCESS AND ASSTT. COMM. OF SALES TAX RAISE ONE QUERY AS WE ARE HAVING BRANCHES OUT SIDE MAHARASHTRA BUT IT IS NOT REFLECTED IN REGISTRATION CERTIFICATE AND CANN'T CONSIDER AS BRANCH SALE.

WE REQUIRED YOUR SUGGESTION THAT WHETHER ASSTT. COMM OF SALES TAX IS WRIGHT OR WE HAVE TO ADD BRANCHES IN OUR REGISTRATION CERTIFICATE.

EXPECTED YOUR REPLY AT EARLIEST.

[dipsang vadhel]

Mere F forms submitted by your branches are not conclusive evidence of Branch transfer of goods out side Maharashtra. You need to prove the genuiness of declaration if assessing officer so requires.  In my view , non inclusion of branches in registration Certificate is a procedural lapse, you can convince assessing officer by  producing relevant documents in support of claim.

Yes.I think  you should include all your offices in registration certificate  to aovid such query in future.

[YAGAY and SUN]

Yes, not getting the branch in the incorporated in the CST Registration Certificate is procedural lapse. However, you would have to provide the information to the concerned department regarding branches outside the State.

[rishi mohan]

Yes, We need to add our branches in the department before making a branch transfer to a particular branch. Without addition of a branch we shall not be eligible for availing "F" forms.

AI Summary

Branch transfer sale compliance: ensure branches are included in the registration certificate to substantiate F form claims properly.
Form F alone does not conclusively establish branch transfers for VAT/CST; the assessing officer may demand proof of the genuineness of declarations. Non inclusion of out of state branches in the CST registration certificate is a procedural lapse: taxpayers should produce corroborative documents and amend or notify registration to include such branches to substantiate branch transfer claims and support reliance on Form F.