https://www.taxtmi.com/circulars?id=62106 Treatment of post sales discounts depends on their nature: unconditional discounts relate to the original supply and may be excluded from the supplier's value of supply under section 15(3); discounts conditional on dealer promotional activities are consideration for services supplied by the dealer and attract GST with corresponding ITC to the supplier. Discounts enabling reduced customer prices must be added to the dealer's value of supply, and customer ITC is limited to tax actually paid. If a supplier cannot exclude a discount, it may issue commercial credit notes but cannot reduce original tax liability; dealers need not reverse ITC if they pay the reduced value after adjustment plus original tax. en-us Mon, 22 Jul 2019 00:00:00 +0530 Thu, 08 Aug 2019 12:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=62106 Treatment of post sales discounts depends on their nature: unconditional discounts relate to the original supply and may be excluded from the supplier's value of supply under section 15(3); discounts conditional on dealer promotional activities are consideration for services supplied by the dealer and attract GST with corresponding ITC to the supplier. Discounts enabling reduced customer prices must be added to the dealer's value of supply, and customer ITC is limited to tax actually paid. If a supplier cannot exclude a discount, it may issue commercial credit notes but cannot reduce original tax liability; dealers need not reverse ITC if they pay the reduced value after adjustment plus original tax. Circulars GST - States Mon, 22 Jul 2019 00:00:00 +0530 https://www.taxtmi.com/circulars?id=62106