First stage dealer

vivek somani (Accounts and taxation head)   (91 Points)

28 June 2014  

Hey,

My client is deals in sugar trading. He purchased the sugar from mill and supply to factories.Now my client wana register himself as First Stage Dealer so that excise duty can be pass on to manufacturer customers.

some key points:

He purchases sugar from mill , which he directly supply to manufacturer customer without stocking it with himself.

He also want to practice the following transaction:

He purchase a sugar from a dealer who do not issue excisable invoice and also from mill where excisable invoice is issued. Now Since stock is same (sugar), he want to supply sugar purchased from dealer to manufacturer customer with invoice he received from mill.

Can he do so?

 

whether registering as FSD as per above requirement and situation is possible?

what is the preocedure?

What other practial hurdels or issues may arise in thus case?

 Responses are awaited