I have a query how to deal a expense under gst. We are registered under GST as regular dealer. We supply goods to party on order throught GTA on "TO PAY" Basis. The GTA gets payment through the recipient, hence the GTA tax under reverce charge has to be paid by the GTA or reciepient.
Now the recipient claims the transport charges amount from us as per our selling terms going on from years.
I reimburse the amount to the recipient via credit note. now what is the tax implication and should i claim any amount on making credit note under GST.? many tax consultants are having different views on this.
16 January 2018
As per my opinion, Since you pay tax on the goods sold to the customer and the customer pays tax on transportation under RCM, there is no more liability in this case. But you can't show the credit note in GST return. As it is just reimbursement of expenses.
CAclubindia
