notice u/s 73 converted to 74

[FARIDUDDIN AHMAD]

Assesses is carrying business of work contract, during the F.Y-2023-24 in the month of nov and Dec 2023 issued invoice to his vendor for taxable valueRs-6,70,968.69 tax Rs-1,20,774.36/-(CGST+SGST) and taxable value Rs- 67,15,362.20 and tax 12,08,675.18/-(SGST+CGST) and declared in GSTR-1 and paid the tax through GSTR-3B returns of Nov and Dec-2023. Later in the month of feb 2023 vendor rejected the invoices for the reason that time limit to process the bills within 60 days was over. Consequent to rejection of said bill Assesses in feb 2023 issued credit not of tax Rs-13,29,449.54(CGST+SGST) issued to vendor, which resulted in NIL outward tax liability for feb 2023 in GSTR-3B with debit balance of Rs-1,20,0698.30/-(net of total outward liability-credit not) reflected in GSTR-1. Can we adjust this balance debit balance

AI Summary

Business Seeks Advice on Adjusting Debit Balance in GSTR-1 After Vendor Rejection Due to 60-Day Limit A business engaged in work contracts issued invoices in November and December 2023, declaring and paying taxes via GSTR-1 and GSTR-3B. In February 2023, the vendor rejected these invoices due to a 60-day processing limit, prompting the issuance of a credit note for the tax amount, resulting in no outward tax liability for February. The query seeks advice on adjusting the debit balance in GSTR-1. Responses suggest adjusting the balance in subsequent GSTR-3B filings if excess tax was paid or issuing a new invoice if tax is still payable.