TDS Deduction on gst credit note

This query is : Resolved

Vikrant Singh Deo (Querist)
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25 July 2023 A raise a invoice of 50000 base value + 18% gst to party B
and A Raise credit note against the upper invoice of 5000 +18% gst to party B

When B will make the payment to A then at what value B will deduct the TDS ?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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25 July 2023 Deduct TDS after considering credit note.

Vikrant Singh Deo

Vikrant Singh Deo (Querist)
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25 July 2023 sir can u share the calculation tds rate 2% and under what section this process is done .

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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25 July 2023 It's 2% on 45000 after deduction of credit note 5000.

Vikrant Singh Deo

Vikrant Singh Deo (Querist)
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25 July 2023 sir can u tell the rule no in gst law or any link for this case

Vikrant Singh Deo

Vikrant Singh Deo (Querist)
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26 July 2023 please help on the upper question

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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26 July 2023 Under Section 34(1) of the CGST act 2017, a credit note is defined as a document that is issued by the supplier of goods/services to the recipient when: The issued tax invoice has charged a tax amount that is more than the amount that should be payable due to such supply. The receiver returns the supplied goods.

Vikrant Singh Deo

Vikrant Singh Deo (Querist)
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27 July 2023 this is applicable in case of discounting also ?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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27 July 2023 Yes you are right...
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