Introduction
Welcome to the Empress guide on Stock Transfer with GST. This feature allows you to efficiently manage transactions that require the application of taxes when transferring materials between branches.
Rather than using the more technical Stock Entry, we’ll be focusing on using the Sales Invoice and Purchase Invoice. This non-technical walkthrough is designed to guide you through this process step-by-step, highlighting key functionalities and benefits that can streamline your everyday operations.
Introduction
Empress offers a user-friendly way of conducting stock transfers between branches while applying necessary taxes. This process involves the use of Sales Invoice and Purchase Invoice, and it plays a crucial role in the business operations, ensuring tax compliance and keeping an accurate record of stock transfers.
Step 1: Updating the Company Master Settings
Firstly, navigate to the company master settings. Here, you need to add the default Unrealized Profit and Loss account and the default In-Transit warehouse. These inputs will set a framework for your future stock transfers.
Step 2: Creating Internal Customer and Supplier
Next, create an internal customer and supplier. These entities will represent the branches between which the stock transfer takes place. Ensure that they are configured to transact with the same company. It’s also important to link the correct address and GST details with each party.
Step 3: Creating the Sales Invoice
The third step involves creating a Sales Invoice. This document represents the delivery of items from the source branch.
When creating the Sales Invoice:
- Select the internal customer you created in the previous step.
- Activate the ‘update stock’ checkbox.
- Add the items to be transferred. Both the Source Warehouse and Target Warehouse should be set as the In-Transit warehouse.
Once you’ve filled the necessary fields, save and submit the invoice.
Step 4: Creating the Purchase Invoice
The final step is to create the Purchase Invoice, which signifies the receipt of items at the destination branch.
To do this, navigate to the sales invoice and click on the ‘Create Internal Purchase Invoice’ button. Then, select the ‘Accepted Warehouse’ (this is where the stock has been received), and save and submit.
Note: The automatic application of GST on invoices depends on your GST configuration. Ensure that you have the correct tax templates configured, and the appropriate addresses and GST details linked to the internal parties.
Conclusion
This feature enhances your business processes by simplifying the stock transfer procedure between branches, ensuring that you remain compliant with tax laws. By following this guide, you can easily manage your company’s stock transfers with GST application in Empress.
For more information, please refer to our additional resources or contact our support team for further assistance.