Can we Amend Credit Note
This query is : Resolved
07 October 2025
A has purchase in March 24 a Sand and Bricks of Rs 60Lakh with GST from B Later they B Cancelled and Party issued Credit Note on October or September Now this 24-25 year wants that Bill to be Ammend and Credit Note should be removed it was closing Stock and in Accounting A Debit Note while Entering Show in Other Side of P and L with Negative Figure...Can B Remove the Credit Note Before Audit in GST Till October25????
08 October 2025
Yes, Party B (the supplier) can amend or remove the credit note issued for the sand and bricks transaction—provided this is done before the prescribed deadline for FY 2024–25. Under current GST rules, any amendment or reversal of credit notes relating to a transaction from March 2024 must be completed in the GST returns filed up to October 2025, or by the filing date of the annual return for that year, whichever is earlier. So, if the credit note needs to be withdrawn (i.e., the original sale reinstated), B must do this within these statutory timelines.
08 October 2025
GST law (Section 34) mandates that any adjustment or declaration regarding credit notes for a supply must be made no later than the return for September following the year of supply, or the date of filing the annual return—whichever is earlier.
For the 2024–25 financial year, this means amendments can be made up until the October 2025 GST returns deadline—generally November 30, 2025, unless the annual return is filed sooner.
As B issued the credit note in September or October, and now wishes to cancel or amend this before audit (October 2025), it is still within the permissible deadline.
For the 2024–25 financial year, this means amendments can be made up until the October 2025 GST returns deadline—generally November 30, 2025, unless the annual return is filed sooner.
As B issued the credit note in September or October, and now wishes to cancel or amend this before audit (October 2025), it is still within the permissible deadline.
08 October 2025
B should amend the credit note in the monthly GSTR-1 return using the specified table (Table 9C – Amended Credit/Debit Notes for B2B transactions).
Accounting for Party A: Since A had shown the inventory as closing stock and recorded a debit note, if the credit note is withdrawn, A should reverse this entry in the books to reflect the original purchase and closing stock correctly.
B must ensure that if any GST adjustments were made (like reduction of tax liability through the credit note), these are also properly reversed in B’s and A’s GST returns.
Accounting for Party A: Since A had shown the inventory as closing stock and recorded a debit note, if the credit note is withdrawn, A should reverse this entry in the books to reflect the original purchase and closing stock correctly.
B must ensure that if any GST adjustments were made (like reduction of tax liability through the credit note), these are also properly reversed in B’s and A’s GST returns.
08 October 2025
After the amendment/cancellation of the credit note, B should communicate with A to ensure both parties’ accounts and GST returns are in sync; otherwise, mismatches may affect future audits.
All changes must be completed and reported in GSTR-1 & 3B before the October 2025 due date for that financial year.
Proper documentation must be retained to explain the reversal or amendment during GST audit.
All changes must be completed and reported in GSTR-1 & 3B before the October 2025 due date for that financial year.
Proper documentation must be retained to explain the reversal or amendment during GST audit.
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