Vat on stock transfer

Rohit (CA-Final) (1485 Points)

13 September 2012  

2 % on Input VAT credit is deducted on Stock if we transfer Stock from One state to another.

 

-> But what will happen if we transfer an Exempted Good [ We do not have any Input VAT credit balance ] ??

-> If we Transfer a Stock having 1 % Input VAT credit Availabe on it ???