11 December 2019
I request expert opinion eligibility/ showing credit note in GSTR 1 ( Sales return)
One dealer raising invoice in March 19. The customer raising Debit note towards rejection of consignment against March 19 raised invoice in December. If the Debit note is raised by the customer , the dealer is account through credit note in books and GSR1 return.
My query is if the dealer mention the credit note in return , the system will ask the invoice reference. As per GST Act, the Debit / Credit note to be raised before 30th September of the succeeding financial year or filing of annual GST return which ever is earlier. Hence the system will permit to mention March invoice date ? Even it is permitted is it correct as per GST Act?
11 December 2019
I think the time limit specified for Input Tax Availing process, not for output tax. So Customer returned the product means that is "Sales Return", So we can make sales return in our books in the current month. And mainly if it was a B2C Customer it will be adjusted in the current month sales.
Even though the customer raises debit note for rejection , we have to raise Credit note for the same while filing GSTR 1 return.
I have gone through the provision of section 34 of CGST act Section 34 (1) furnishes the circumstances of issuing debit note - lesser value charged, lesser GST charged and circumstances of issuing credit note like rejection due to recipients, short receipt , rate difference etc.
Section 34 (2) furnish that both Debit and Credit note to be issued before the end of sep 19 of the next financial year or filing GSTR annual return which ever is earlier. Hence I asking whether GST credit can be availed for rejection made in Dec 19 by the customer for March 19 raised invoices
11 December 2019
No , You can not avail credit for rejection made for March 2019 invoices . As you rightly said , Sec 34(2) specifically restrict for issuing credit note and availing ITC beyond the prescribed period ( Though , I understand portal is allowing availing credit beyond 20th October 2019 )
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