Menu
discount
sir I am deducting discount from my suppliers bill without disturbing GST AMOUNT in this case will i have to take credit note ?
Replies (10)
If the Discount is mentioned in the invoice the GST can be calculated on post discounted Amount.
you have to send debit note to your supplier with discount amount and GST ON IT,, U CAN NOTE ALLOW TO MODIFY INVOICE OF YOUR SUPPLER AS PER RULLES OVER WRITING NOT ALLOW
Sir GSTon discount? At what rate? It is cash discount for early payment
It does'nt matter... For E.g., If the Invoice is for 1,000/- and the seller or service provider gives 5% discount (Discount mentioned in Invoice) then the GST will be applicable on 950/-.
discount not mentioned in invoice e.g 1000 rs goods 5 % GST total value 1050. as I'm paying in 8 days I m getting 2% discount . debit note of rs 20 .
then yes you need to take it.
GST on discount on GST input or output
Entry at the time of purchase purchase. Dr 1000
Gst Dr 50
Vendor cr. 1050
At the time of payment
Vendor Dr 1050
Disc cr 19
Gst. Cr 1
Cash/bank 1030
Gst ac also vifircate into CGST AND SGST.
Entry at the time of purchase purchase. Dr 1000
Gst Dr 50
Vendor cr. 1050
At the time of payment
Vendor Dr 1050
Disc cr 19
Gst. Cr 1
Cash/bank 1030
Gst ac also vifircate into CGST AND SGST.
Actually it is not a GST on Discount , but it is a Reversal of ITC of GST on Purchase.
Recent Topic
- Forward tax charge gst related
- SBI direct mutual funds ITR
- 44AE Section
- FEMA compliant structure
- Tax obligation in AY 2026-27
- EFILING ITR2 FROM COMMON FILING UTILITY
- SBI gold bond interest
- PPF Interest Exempt - But what drop down to choose
- Itr2 or itr3 intraday trade 1 loss of 70 paise
- Calculation of IT
Related Topics
CAclubindia
