Gst entry for the purchase of new cell phone

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This query is : Resolved

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When purchasing a new mobile phone with GST, a discount offered via a credit note means the GST can be booked and reversed for the discounted amount. The phone should be treated as a fixed asset, and you can claim depreciation on its value, excluding the GST. The discount itself should be written off as an expense.

Nitin Agarwal

Nitin Agarwal (Querist)
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31 January 2020 we have purchased a new cell phone with gst.
shop person given us bill with gretaer amount and shown discount with credit note.
what will be entry to take gst benifit and will it be expenses or will be in fixed asset side.
can we claim depreciaition

Gokul Sharma

Gokul Sharma (Expert)
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31 January 2020 GST BENEFIT NOT AVAILABLE .......IT SHOULD BE W/OFF AS EXPENSES.

CA Paras Ahuja

CA Paras Ahuja (Expert)
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31 January 2020 GST can be booked and also reversed for discount portion (by entering credit note) and yes you are eligible for depreciation too at value of phone(excluding gst).

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