Brief · CBIC circular on inter-branch cross-charge

The circular clarifies that where the recipient is eligible for full input-tax credit, the value declared in the invoice will be accepted as the open-market value.

For entities with fully-eligible ITC across branches, this substantially reduces valuation-related exposure on cross-charge.

Groups with mixed-supply or exempt-output branches should not read the clarification as a blanket exemption - the earlier valuation rules continue to apply there.