In case of E-1 sale, a manufacturer A sells goods to a Trader B, who in turn sells goods while in transit to his customer C.(All three parties are in 3 different states)
Will this purchase by B from A fall under Sec 3(a) or Sec 3(b) purchase?
Rahul Jain (Accountant) (316 Points)
13 July 2013In case of E-1 sale, a manufacturer A sells goods to a Trader B, who in turn sells goods while in transit to his customer C.(All three parties are in 3 different states)
V. Devananda Narasimham
(Advocate)
(248 Points)
Replied 13 July 2013
Mr. Jain,
In order to satisfy a sale or purchase as interstate sale u/s 3, the conditions stated in Sec.3(a) &(b) shall be taken place. Here A sells goods to B and satisfied the conditions, hence it is an interstate sale. Thanks.
Analysis of 20 GST Notices (including 2 Appeals) and Practise on Drafting(with recording)
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
CAclubindia
