Raw Material As such inter Unit Dispatch

[pareshbhai vasava]

Dear Sir,

We have purchased raw material from regular vendor.

Said material as such we want to transfer our inter unit.

If we generate invoice what about 2% CST is applicable to us ?

What is rules As such Chemical Material ?

your quick reply is highly appreciated.

Thanks & Regards

Paresh Vasava

AI Summary

Transferring Raw Materials Between Units: Use Challan or Invoice; Form F for Interstate Transfers; Consider CENVAT Credit Rules. A user inquired about transferring raw materials between units under the same management and the applicability of the 2% CST. Responses highlighted that if both units are under the same owner, goods can be transferred using a challan; otherwise, CENVAT credit might be disallowed. It was advised to issue an invoice for removal of inputs and pay the duty or reverse CENVAT credit. If units are in different states, Form F is needed to exempt CST. Large Tax Payer Units can transfer without duty payment. The discussion also clarified the identity of the consulting firm, YAGAY and SUN.