TaxTMI 
TaxTMI 
Dear Sir,
If we are going to bill some matl to customer what are the procedure against this.
Can we supply though the Road challan only.
SAMPLE MATERIAL BILLING
11 Feb 2011 
1 Reply 
1279 Views Asked by
Excise compliance for free samples: raise excise invoice, record delivery challan, and do not levy VAT when no consideration.
When dispatching goods as samples, raise an excise invoice and pay excise duty if goods are excisable; prepare a delivery challan citing the excise invoice number. Treat samples as supplied without consideration and do not charge VAT. Issue a sample-series commercial invoice for accounting and post to the general ledger. Record LR number, date and carrier on the excise invoice, delivery challan and sample invoice, and follow state-specific road permit or challan rules. (AI Summary)
When dispatching goods as samples, raise an excise invoice and pay excise duty if goods are excisable; prepare a delivery challan citing the excise invoice number. Treat samples as supplied without consideration and do not charge VAT. Issue a sample-series commercial invoice for accounting and post to the general ledger. Record LR number, date and carrier on the excise invoice, delivery challan and sample invoice, and follow state-specific road permit or challan rules. (AI Summary)