credit note on B2C supplies

[KERAGODEGOPALARAO ANANTHARAO]

Facts:-

1. My client is dealing in taxable and exempted goods. The customers are mainly B2C.

2. The outward supplies is declared in GSTR-1 of March 2022 and returns are filed.

3. Recently came to know that some of the taxable invoices are required to issue credit notes amount in Rs. 92,00,000.

4. In the month of July there was taxable outward supplies of Rs. 1,05,000 for which we have issued taxable invoices filed GSTR-1, filed the GSTR-3B and paid the taxes.

5. During the month of August and September there is no taxable supplies.

6. We have to issue credit note for RS. 92,00,000 for the month of March 2022

7. There is amendment in sec 34 (2), from which date it is applicable.

What is the remedy for the credit note of taxable supplies for the month of March 2022.

Can we rectify GSTR-1 and GSTR-3B for the above adjustment, is any way out for the output tax on the wrong taxable invoice issued during March 2022.

Kindly provide me the fees to be paid for above consultation. I have to file tax audit report for the 2021-22 I required information your guidance at the earliest madam.

Yours Faithfully,

K G ANANTHA RAO

AI Summary

Credit note issuance for B2C supplies: disclose in supplies return and adjust output tax in later summary returns when feasible.
Credit notes for prior B2C taxable supplies should be issued and disclosed in the supplies return in the appropriate tables; the monthly summary return does not accept negative entries, so output tax adjustment can be made in a later period when turnover permits. Reliance on circular guidance is possible where return format prevents timely disclosure, provided the tax incidence was not passed to another person. If the credit arises from erroneous reporting, amendment of the supplies return or refund may be alternative remedies, and evidence of refund should be maintained when GST was not charged.