TaxTMI 
TaxTMI 
Sir
On realisation of sales, cash discount is given to customers. Whether GST is applicable on discount as expence.
cash discount whether gst applicable
09 Sep 2017 
5 Replies 
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GST treatment of cash discounts: excluded if recorded in invoice or agreed and input tax credit reversed.
Under Section 15(2) of the CGST Act, the value of supply shall not include any discount given before or at the time of supply if duly recorded in the invoice, or any discount given after supply if it is established by an agreement linked to the invoice and the recipient has reversed the input tax credit attributable to the discount on the basis of supplier documents. (AI Summary)
Under Section 15(2) of the CGST Act, the value of supply shall not include any discount given before or at the time of supply if duly recorded in the invoice, or any discount given after supply if it is established by an agreement linked to the invoice and the recipient has reversed the input tax credit attributable to the discount on the basis of supplier documents. (AI Summary)