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100% Discount on Invoice

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If I will give 100% discount on my invoice. Should I do this and didn't charged gst on invoice as per section 15(3). Am I right?
Replies (11)
no , u cant do so u have to charge GST
Thanks Pankaj. It would be better if your answers include reference in act also i.e. where it has written.
Mr. Yogesh

Lets Say u are billing for rs. 100/- + gst 18℅ comes to 118 less discount 100% (on taxable value) net value of bill come to 18/- which u have to deposit as gst payable ( valuation rule as per section 15 cgst Act)
or
you can show the discount of Rs.118/- (bill vale comes to Nil) & has to reverse ITC on its purchase ( As per section 17(5) cant give free)
Sir, but I will bill like 100/- then less discount 100% and Net Taxable will be Nil because discount is allowed at the time or before the issue of invoice . Then no gst will be there as taxable value is nil.
Then u have to reverse the ITC on its purchase as in gst u cant give anthing free as per section 17(5)

Note. In anyway u have depo. GST

Yes. If you do not charge the GST on sale then you will have to reverse the GST which was used while purchase of the goods. 

hope you got the point ..its better to have deposit gst with giving 100% discount than reverse the input tax

hope you got the point ..its better to have deposit gst with giving 100% discount than reverse the input tax

But, where it has been written in GST Act or Rule  when you do not charge gst then you should reverse ITC.

I supied a water purification plant to my customer. It was invoiced and was included in GSTR1 for that month. However , while commissioning the plant, it was found that 50 litres more of ion exchange resin must be added again to get the desired result. I cannot invoice this to the recipient as it is my scope to get the result, for the quoted price.and material supplied. How I can handle this supply. Should I pay GST against this 

 

 

 

 

rather than giving it free and creating ambiguity, why not sell the product/ service for a promotional offer of Rs. 1 and then pay the GST on it also.


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