TaxTMI 
TaxTMI 
If a seller A supplies goods to Buyer B
And now the goods are to be returned.
Are both parties liable to issue credit/Debit note respectively ??
Debit/credit note
03 Apr 2018 
3 Replies 
921 Views Asked by
Credit and debit note rules: supplier must issue adjustment notes; buyers may issue debit notes in limited cases.
Credit notes and debit notes are principally instruments the supplier must raise to document post-supply adjustments under GST; the supplier is the primary party required to issue such notes to alter taxable value. A buyer may, in practice, raise a debit note in limited circumstances. If the buyer returns the full invoiced quantity the return may be processed on the original invoice; for partial returns or more complex situations parties may adopt settlement or reconciliation routes. (AI Summary)
Credit notes and debit notes are principally instruments the supplier must raise to document post-supply adjustments under GST; the supplier is the primary party required to issue such notes to alter taxable value. A buyer may, in practice, raise a debit note in limited circumstances. If the buyer returns the full invoiced quantity the return may be processed on the original invoice; for partial returns or more complex situations parties may adopt settlement or reconciliation routes. (AI Summary)