Consignment stock at Customer site
As a part of Consignment process, while creating Consignment fill up order, stock should be moved from our Bangalore plant to customer location at Chennai.
I have the queries below.
1. During Consignment fill up, we will not bill not bill the Customer and we will be creating only Proforma invoice and Excise Invoice. As per Indian law, it is allowed to keep the stock at Customer site with Proforma and Excise invoice. i.e. Can we move our stock to Customer place after Consignment fill up?
2. Second query: While Consignment fill up, we won't bill the Customer but Excise duties are collected. Customer will be billed only during Consignment issue. As per law, is there any restriction with respect to number of days like "within this many days commercial invoice should be created"?
2. Second query: Say for an example, we create a Consignment fill up for 10 quantities. So excise duties will be collected for the 10 quantity. While creating Consignment issue, if Customer is taking only 2 quantity out of 10, we will be billing only 2 quantity. How does the CENVAT account will be settled between Commercial invoice and Excise invoice? How this will be handled?