Tran 1 ITC - whether available on documents raised for inter stock transfer

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sir, this is a case of a trading firm which was not registered under c.ex and has multilocated depots pan india. they got registered under gst and filed tran 1under Sec 140(3) - but were denied credit taken on invoices/notes showing inter stock transfer from their depots to their firm by the dept , since technically inter stock transfer notes/invoices are not prescribed documents for the purpose of taking credit, though the goods were lying in stock as on 30.6.2017....pls advise.

AI Summary

Trading firm denied GST credit on inter-stock transfer invoices; must prove correlation with excise invoices under Section 140(3). A trading firm, newly registered under GST with multiple depots across India, faced denial of credit on inter-stock transfer invoices when filing TRAN-1 under Section 140(3). The department rejected the credit as these invoices were not prescribed documents, despite the goods being in stock as of June 30, 2017. Respondents advised that the firm must establish a correlation between the excise invoices and stock transfer invoices and provide evidence, such as books of accounts, to support their claim. It was suggested that identifying stock through batch numbers might help in appealing the department's decision.