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Stock transfer Vs Inter State Sale

Stock transfer Vs Inter State Sale

If a company manufactures goods in one of its units. Then transfers it to its another unit in another state. Apparently, this looks to be an inter state sale. But if the goods transferred are not sold as they are, but are used in or become a part of another good and then sold, then this the transfer by one unit to another is "STOCK TRANSFER" and NOT "INTER STATE SALE".