TaxTMI 
TaxTMI 
what is the procedure to account sales return in case the order is cancelled.
Procedure for sales return
27 Dec 2013 
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Cenvat credit admissible on duty paid at removal where sales cancelled, subject to invoice and receipt records.
Cenvat credit may be claimed for duty paid at the time goods were removed even if the sale is subsequently cancelled, provided the original invoice issued on removal is produced as the valid document; the claim must be reflected in accounting records and supported by factory records evidencing receipt of the returned goods. (AI Summary)
Cenvat credit may be claimed for duty paid at the time goods were removed even if the sale is subsequently cancelled, provided the original invoice issued on removal is produced as the valid document; the claim must be reflected in accounting records and supported by factory records evidencing receipt of the returned goods. (AI Summary)