Our supplier is issuing E-invoice as there turnover is more than 10 Cr.
For a purchase return they issued us a credit note and they want us to issue a Debit note also.
Is it necessary. ?
Is this not a duplication ?
9 Replies
Divyam Agarwal
(Practicing Chartered Accountant)
(959 Points)
Replied 20 October 2022
Yes, it is the correct way.
Dip Narayan
(Deputy Manager)
(772 Points)
Replied 20 October 2022
I do not think debit note is essential . Being a supplier we often issue credit note but we never demand debit note from customer. ( Note: We are not RCM supplier )
MPR Sanjay Kumar
(3118 Points)
Replied 20 October 2022
My dear persons, could you please clearly explain me about the debit note and credit note in general account and also in GST please give me a clear definition lots of confusion
CA Pramod Singh
(CA)
(33 Points)
Replied 21 October 2022
Please note the prime condition for issuing credit note is the recipient should reverse the ITC w.r.t such credit notes. Your suppliers intention might be to get proof of such reversal at your end.
If in case department asks for query he may proceed such Dr note and say that the recipient has reduce so much of ITC.
Sanjay Sharma
(2 Points)
Replied 21 October 2022
My Dear friend,
Please replace debit note in Sale invoice and paid liabilities with out ward supply. Instead of reverse ITC while issue debit note... than not need to demand from supplier for issue credit note...
MPR Sanjay Kumar
(3118 Points)
Replied 21 October 2022
Can anyone please explain me the variences of debit note and credit note detailing general accounting and also GST
Amit Kumar Saxena
(GST and Income Tax Practitioner)
(26 Points)
Replied 22 October 2022
1) At the time of Purchase Invoice (for them it is Sales)
Dr. You ( Customer)
Cr. Sales
2) At the time of Purchase Return (for them it is Sales Return)
Dr. Sales Return/Sales
Cr. You (Customer)
now adjustment with Debit Note
Dr. You ( Customer)
Cr. Sales
venkatg YG
(45 Points)
Replied 23 October 2022
If recipient issues his tax invoice for purchase returns how the the supplier of the goods treat it. Whether issue credit note or treat it as purchase
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