Invoice issued at wrong GSTIN which is now cancelled

[Rajat Gupta]

My client issued an invoice dated 26.05.2026 and reported it in GSTR-1. Soon after, he realised it was issued against the old GSTIN of the buyer. When I tried to amend the value of invoice, the portal restricts saying 'GSTIN of the recipient is cancelled'. Neither does portal allow reporting of credit note against that invoice.

Since it is an intra-state B2B transaction, I am also unable to report CN under B2C. My Client does not have any B2C supply. How can I tackle this situation and reduce the tax liability in the returns?

AI Summary

GST invoice correction for cancelled recipient GSTIN may require manual credit note, fresh invoice, and departmental intervention.
GST portal validations may prevent amendment or credit-note reporting for a B2B invoice issued to a GSTIN cancelled before invoice issuance, although cancellation of the recipient GSTIN does not expressly bar issuance of a credit note. The suggested approach is to issue a manual credit note, raise a fresh invoice to the correct GSTIN, and seek written intervention from the jurisdictional GST officer or GSTN for the tax adjustment. A refund route may be considered if return-level adjustment is unavailable.