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GST ON CREDIT NOTE

mohit (accountant) (142 Points)

22 August 2019

Hi,

I have a query,

we are manufacturer of auto parts,and sale through dealers in market,we send some consignment through transporter and agree to pay freight charges.

later we issued him CREDIT NOTE FOR THE FRIGHT CHARGES only for the fright amount without CHARGING GST.

NOW PARTY SAYING THAT THESE CREDIT NOTE NOT ACCEPTABLE BECAUSE OF NO GST ON CREDIT NOTE.

PLEASE SUGGEST US

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3 Replies

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 22 August 2019

Your Query is not cleared.... 😇😇😇

(later we issued him CREDIT NOTE FOR THE FRIGHT CHARGES)
- To whom...?

- What about Your freight charges in Invoice with GST or without GST...?

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mohit (accountant) (142 Points)
Replied 22 August 2019

- issued credit note to distributer whom we send consignment

- we not issued any invoice, invoice issued by transporter directly to distributer

- we only ISSUE credit note for the freight amount

Siva Raj (358 Points)
Replied 23 August 2019

you raised invoice for freight with GST , if u reverse that frieght amount means you should charge GST for freight in credit note then only the purchaser can reverse the ITC which was he availed in Invoice.

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