https://www.taxtmi.com/forum/issue?id=116756 Whether GST applies to write offs of loans or creditors depends on whether the write back constitutes a supply (a service) because it produces consideration; if ITC was availed and payment to the supplier was not made within the statutory timeframe, Section 16(2) requires ITC reversal and may give rise to an outward tax implication on the write back amount. Conversely, mere accounting write backs may lack a supplier-recipient relationship and thus not constitute supply, and reversing ITC for creditors is advised to avoid double taxation. en-us Tue, 29 Sep 2020 17:17:58 +0530 Thu, 23 Jan 2025 15:54:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=116756 Whether GST applies to write offs of loans or creditors depends on whether the write back constitutes a supply (a service) because it produces consideration; if ITC was availed and payment to the supplier was not made within the statutory timeframe, Section 16(2) requires ITC reversal and may give rise to an outward tax implication on the write back amount. Conversely, mere accounting write backs may lack a supplier-recipient relationship and thus not constitute supply, and reversing ITC for creditors is advised to avoid double taxation. Discussion-Forum GST Tue, 29 Sep 2020 17:17:58 +0530 https://www.taxtmi.com/forum/issue?id=116756