Goods Rejected by SEZ to DTA

[Yatin Bhopi]

We have supplied goods to SEZ unit without payment of GST. Now SEZ unit has rejected the said goods on Tax invoice with IGST. for eg. we have issue invoice of ₹ 100 and SEZ unit raised invoice of ₹ 100+18. in normal circumstances we would have been issued credit note of ₹ 100 and same will be added in GSTR-1.

Please let me know procedure to show in GSTR-1 and GSTR-3B

AI Summary

Controversy Over SEZ Goods Rejection: IGST Invoicing and GSTR-1, GSTR-3B Reflection Challenges A discussion on a forum revolves around the rejection of goods supplied to a Special Economic Zone (SEZ) unit without GST payment, and the subsequent issuance of an invoice with IGST by the SEZ. The main issue is how to reflect this in GSTR-1 and GSTR-3B. One participant suggests treating the transaction as an 'Inter-State' supply rather than an import. Another highlights that clearances from SEZ to Domestic Tariff Area (DTA) attract customs duties and IGST, questioning if they could be deemed imports. The discussion also touches on the SEZ Act's non-overriding effect on GST laws.