Wrong material

Hi,
we purchased some sheets. for supplier, but some material was rejected ....
can we bill him back rejected material.

we are supplier of air vantilation product's most of our HSN code belongs to vantilation product's

but rejected material was belong to another HSN code i.e iron sheet ..

is it legally right to bill him rejected material back...
if not
please share any section or notification

your prompt response will be appreciated in advance ...

Thank you
Replies (5)
Quick Summary
This discussion addresses whether a supplier of air ventilation products can legally bill back rejected materials, specifically iron sheets, to their original supplier. The consensus is that the supplier should request a debit note from the original supplier for the returned defective goods. This debit note can then be raised in the company's system, and the original supplier should issue a corresponding credit note. Both parties must then reflect these transactions correctly in their GSTR-1 filings.

Does your company rejected the material after purchase ?
Yes sir ...
some material was found defective
Ask the supplier to provide debit note for material returned by your company. Debit note will be prepared by the supplier.

You should raise debit note in your system, if already taken purchase entry.  Also, you should ask your supplier to book credit note in his system against your credit note.  Thereafter, you should show debit note in your gstr 1 and he should show as credit note in his gstr 1. check out here for more details. https://gstindianews.info/credit-note-and-debit-note-concept-under-gst/#debitnote

Thank you
everyone

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