Gst on discount received

This query is : Resolved

Rajesh TM (Querist)
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17 October 2019 Dear experts,

Please help me to know that any gst implications for discount received
As a part of sales promotion our Seller company is allowing 7% discount on our sales . That amount we are claiming through generating debit note by debiting seller company and crediting discount received. Please let me know any gst implication on this amount? We are treating this as non gst debit note

Thanks in advance
Regards
Rajesh

CA Dileep Surya Kumar

CA Dileep Surya Kumar (Expert)
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17 October 2019 Check whether any GST has been mentioned credit note, if it so you have to revere the input tax credit

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Rajesh TM

Rajesh TM (Querist)
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18 October 2019 sir, they are also treating this as non gst debit note and issued credit note to us without gst. when i spoke to gst department, they are saying that input credit has to be reversed. We are just passing debit note by debiting that company and crediting discount received. This is actually the difference amount of discount ie., we are allowing 35% discount to this customer and out of that 5% discount amount we can claim from seller company and for that we are passing debit note. Pls help me to know we can solve gst implication on this

thanks in advance

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