Dear Sir,
our client has supplied material worth 10 lakhs to his customer after paying gst which the customer is rejecting on account of some faulty input used in the supplied material.
the customer will not return the material to our client without scrapping it.scrap value will be around 1 lakh
client will also claim this from his vendor who has supplied faulty input which has lead to this rejection.
what should be the correct gst treatment in this matter should our client reverse the gst input taken or can he let it be as he has also paid the outward tax liability.
Please advice.
CAclubindia
