Cancellation of invoice under GST Act

[SURYAKANT MITHBAVKAR]

If we want to cancel invoice due to non lifted material by customer what is procedure under GST.

[DR.MARIAPPAN GOVINDARAJAN]

If you update the said invoice in GSTR - 1, then you should issue credit note to that amount. This is my view.

[Ganeshan Kalyani]

If you have cancelled the invoice in the same month, then it will not form part of GSTR 1. However, if you have issued and invoice to the customer but he has not lifted the material then it has to be uploaded in GSTR 1 and at the same time it has to be mentioned in credit note table.

[Ganeshan Kalyani]

The invoice range and number of invoice issued information is also required to be filed in GSTR 1. This will have the information of cancelled invoice as well.

[Rajagopalan Ranganathan]

Sir,

Please refer to Section 34 of CGST Act, 2017 and rule 53 of CGST Rules, 2017 for detailed procedure.

[KASTURI SETHI]

I support the views of all experts.

[Syed Husain]

Hi All,

I have issued 2 invoices 3 months back to our customer, however, they didn't pay us for that, now they are asking same invoice number with new date. they are not ready to issue debit note against old invoice. Hence, we have issued same invoice with new date. We have paid GST twice for same item and got single payment from client for new Invoice. What is the solution for previously issued Invoice as customer is not ready to accept credit not.

Thanks

Syed

AI Summary

Invoice cancellation under GST requires issuing a credit note, reporting the adjustment in GSTR-1 and following statutory procedure. Cancellation of a GST invoice requires issuing a credit note and recording the adjustment in the credit note table of GSTR-1; invoices cancelled within the same tax period may be treated differently for GSTR-1 reporting. Invoice-range and numbering information in GSTR-1 must reflect cancelled invoices to maintain sequencing and enable audit traceability. The statutory cancellation procedure prescribes the mechanism, timing and reporting requirements for such adjustments.