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SUBVENTION INCOME UNDER GST

3504 views 6 replies

Aashish Sachdeva

839 Points Joined March 2018

if dealer sold good with Credit Card,
Financial Service Provider of Credit card issue of Invoice in name of dealer. Financial services Provider deducted some amount from such payment. Financial Service Provider shows In particular Subvention Income.

Is dealer can take credit of such invoice.....

Replies (6)

Pankaj Rawat

GST Practitioner

55062 Points Joined June 2017

Yes , offcourse , you can claim ITC, but ask for Tax invoice for the same from financer

Aashish Sachdeva

839 Points Joined March 2018

I found on Google Subvention Income is like commission income ...

so what about 194H

Pankaj Rawat

GST Practitioner

55062 Points Joined June 2017

YES ITS COMMISON AS PER INCOME TAX TDS HAS TO BE DEDUCTED

Prem

B.Com

2 Points Joined August 2015

Hi Sir,

Is there any Limit for deduction in F.Y 19-20

Harshada Chavan

2 Points Joined August 2021

Can you mention the relevant section/rules / notification where i can understand accounting process for subvention income?

harsh goyal

6 Points Joined March 2023

What is the accounting entry to be done ??

As the party account is settled against the payment received from financer and if i take the credit, the financer will be credited and a balance will appear in his ledger.

Please advice