Skip to Content
avatar image
Former Member

CIN set up related to Scrap sales process

Dear Friends,

I have posted a query regarding CIN implementation earlier

and got quite some info. Thanks for the knowledge share!

I have gone through some posts regarding scrap sales process and understood the process in general but having limited or no experience in CIN set up, I would like to know how relevant CIN when a pharma company sells scrap in the local market? Is the CIN setup for scrap same as finished product?

Any inputs would be very much helpful to understand the efforts.

Many thanks in advance

Cheers

Sats

Add comment
10|10000 characters needed characters exceeded

  • Follow
  • Get RSS Feed

3 Answers

  • Best Answer
    avatar image
    Former Member
    Apr 05, 2016 at 09:35 AM

    Thank you Lakshmipathi & Santosh for your replies.


    Since the pharma company is a manufacturing plant, I understood from Lakshmipathi's post that, relevant excise duty and TDS will be relevant.


    Does anyone know whether the "GST" (Goods & Service Tax) would be applicable this year? If I am not mistaken, this was not confirmed when the budget was announced but decision whether to introduce GST or not, will be taken by end of March. Any info on that would be appreciated.


    Thanks in advance

    Cheers

    Sats

    Add comment
    10|10000 characters needed characters exceeded

    • Officially, Government of India have published a notification in 2014 known as The Constitution (One Hundred and Twenty-Second Amendment) Bill, 2014 and there is no firm notification as of now. Till such time, you continue to work with the existing tax procedure. Remember, if you are in TAXINJ, then you need to migrate to TAXINN since SAP will not support GST implications from TAXINJ.

      G. Lakshmipathi

  • Apr 01, 2016 at 11:10 AM
    how relevant CIN when a pharma company sells scrap in the local market?

    In short, any scrap sales happening from a manufacturing industry, CIN will come into picture; else only TDS is applicable . Now coming to your query, if that pharma company do scrap sales from a manufacturing plant, then yes you need to take care of relevant excise duty plus TDS will be applicable. On the other hand, if the pharma company do scrap sales from a trading warehouse, then CIN will not be applicable.

    G. Lakshmipathi

    Add comment
    10|10000 characters needed characters exceeded

  • avatar image
    Former Member
    Apr 01, 2016 at 06:13 PM

    Hi Sap Sats,

    Please follow the link as below . I recently did scrap following the same link . Its working well .

    Withholding tax for sales

    Let us know if you are stuck at some place .

    Regards

    Santosh

    Add comment
    10|10000 characters needed characters exceeded