1. what if we sell inventory in undercost is their necessary for reverse of ITC.
2. Effect of it in IT and GST
Dear Hitesh Rawal,
In GST Act, mentioned some valuation rules, according to these rules you can not sale goods below cost. for your reference one valuation rule mentioned.
| Where the value of a supply of goods or services or both is not determinable by any of the preceding rules, the value shall be one hundred and ten percent of the cost of production or manufacture or cost of acquisition of such goods or cost of provision of such services. |
So, as per gst provision you can not sale goods below cost. If you do so rectify that while filling of GSTR-9, Calculate Value of Supplied goods as per valuation rules and pay additional liability raised due to under valued.
Thanks & Regards
Durgesh Vashisth
9899812287
CAclubindia
