predetermined sales

[Arun Aggarwal]

sir

What u mean by predetermined sale or preconceived sales, for the transfer of goods to another state on F form to the branch office, and the branch office selling to a single dealer after charging vat applicable in his state?

[Ganeshan Kalyani]

Preconceived sale is an interstate sale and not stock transfer . tax is applicable .

[Arun Aggarwal]

Sir

Pls define the preconconceived sales and to how to avoid the same , in case of using F form and selling after paying vat in the relevant state.

[Ganeshan Kalyani]

If you stock transfer your goods to your unit in another state. there you split the consignment into different and remove the goods as per order already received before such movement . in such transaction it will not be stock transfer and infact it is preconceived sale. as the sale order was arleady there before movement.

[Arun Aggarwal]

Sir

Can I sell the entire quantity to one buyer after receiving the consignment or I should sell to different buyers to avoid preconceived sales?

AI Summary

Preconceived sale treated as an interstate taxable sale when goods are moved pursuant to prior orders, not a stock transfer.
Preconceived sale is an interstate sale, not a stock transfer, and is taxable where goods moved to another state are sold pursuant to orders existing before movement. A key indicium is splitting a consignment and removing goods in accordance with orders received prior to transfer; such pre existing orders convert what appears as stock transfer into a taxable interstate sale.