KAMINI JENA (3 Points)
24 April 2021My supplier give me the credit note so, as a purchaser it treated as debit note for me. And we have shown the debit note in gstr 1 but later I realized that my supplier also show the credit note which is reflect in GSTR 3B. In this case my tax liability is increase and also my itc is decrease now what would I do?
Please tell me about this
CA Altamush Zafar
(GST Consultant)
(15971 Points)
Replied 24 April 2021
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 24 April 2021
Amend GSTR1 to reverse the liability. Reduce input tax credit from GSTR3B (if not already done) and pay interest if applicable.
KAMINI JENA
(3 Points)
Replied 24 April 2021
Tax liability is decrease in gstr 3b and also my itc reversal is not change as it show credit note , as it will be ok right? But you said pay interest if applicable how? I don't want to give interest, what will be the consequences after that? Please explain
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 24 April 2021
1) I didn't get your first query.
2) Regarding interest, if such C/N was raised by the supplier during a month and reversal has also been considered in the same month itself, then no interest would be applicable.
3) If you opt not to pay interest (when applicable), you need to pay if you get a notice from the department.
CAclubindia
