Treatment of tour package

This discussion clarifies the accounting treatment for a credit note received from Berger Paint, typically issued against tour package benefits due to the pandemic. It explains that if the credit note includes GST, input tax credit may need to be reversed. However, if it's a financial credit note without GST, no GST adjustment is required, simply reducing the amount payable. The advice hinges on whether a prior agreement exists and if the credit note can be linked to specific invoices, determining if a GST credit note or a simple financial credit note should be issued.