Suppose - Reebok purchases goods from a 3rd party manufacturer, worth 100/- MRP, it pays input take of say 10/- total cost to Reebok is 110/- then Reebok transfers its Goods to its Franchise and Franchise sells the goods to Customers by collecting VAT whatever rate applicable and transfers the same to Govt. So, how does Reebok claims the output VAT ? (Please correct me - Reebok will transfer goods to Franchise and NOT sell) |